Cathie Wood or ARK Invest Chose Block Over PayPal Due To the Cash App Bitcoin Focus
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Cathie Wood: ARK Invest 'Chose Block Over PayPal' Due To Cash App's Bitcoin Focus
ARK Invest, the New York-based investment house helmed by long-time Bitcoin supporter Cathie Wood, has sold off all of its holdings in PayPal and is now leaning towards Jack Dorsey's firm Block due to its "singular focus" on Bitcoin. Block, formerly Square, runs Cash App, a payment system that's compatible with Bitcoin's Lightning Network. The Lightning Network is a layer-2 solution built atop of Bitcoin that aims to make transactions faster and more affordable.
Discussing her company’s decision last Friday in an interview with CNBC, Wood pointed to Cash App’s “organic growth” as opposed to the “top-down approach” taken by PayPal’s Venmo. “I think there's an organic movement,” Wood said of Cash App’s user base growth. “Of course, Venmo is accommodating Bitcoin, as well. But it's more of a follower of Cash App. And so we tend to put our bets with who we believe will be the winners.” The ARK Invest chief added that the firm "chose Block over PayPal" while consolidating its portfolios during a risk off period for innovation, and had to make decisions in favor of the “highest conviction names.” And Cathie Wood, ARK Invest Chose Block Over PayPal Due to Cash Apps Bitcoin Focus.
"I think that Block's singular focus on Bitcoin is critical here,” continued Wood, noting that Bitcoin’s Lightning Network has been in test mode for years, but is “more robust now, and is ready for primetime.”Last week, speaking at the Miami Bitcoin 2022 conference, Cash App’s crypto product lead Miles Suter announced a new direct deposit feature that allows users to receive all or a portion of those wages in Bitcoin. Suter also said that in “the near future” Cash App’s U.S. users will be able to receive Bitcoin via the Lightning Network. Block added support for Lightning Network to Cash App in February—but users can currently only send Bitcoin via the network, not receive it, something the company is planning to fix.
Cathie Wood is the founder and President of ARK Invest, a venture the executives firm that spotlights on problematic advancement. In a meeting in February 2021, Cathie Wood expressed that ARK Put had decided to put resources into Square's installment stage, Money Application, Cathie Wood, ARK Invest Chose Block Over PayPal Due to Cash Apps Bitcoin Focus.
As per Wood, Money Application has been more forceful in coordinating Bitcoin into its foundation contrasted with PayPal, which has been more slow in embracing the cryptocurrency. Cash Application empowers its clients to trade Bitcoin, while PayPal as of late begun offering such administrations and Cathie Wood, ARK Invest Chose Block Over PayPal Due to Cash Apps Bitcoin Focus.
ARK Put is known for its interests in troublesome advances like computerized reasoning, mechanical technology, and genomics. The organization has been bullish on Bitcoin and has put resources into Grayscale Bitcoin Trust, which holds Bitcoin for the benefit of its financial backers. Also, ARK Put has been putting resources into organizations that are engaged with Bitcoin mining and blockchain innovation.
Wood accepts that Bitcoin is a problematic innovation that will upset the monetary business. She has expressed that Bitcoin is a support against expansion and that it is a safer store of significant worth than conventional monetary forms. Wood's bullish position on Bitcoin has been disputable, for certain financial backers scrutinizing the computerized money's unpredictability and absence of guideline. In any case, Wood stays hopeful about Bitcoin's future and disturbing the monetary industry potential.