{"id":18898,"date":"2024-11-08T09:39:29","date_gmt":"2024-11-08T09:39:29","guid":{"rendered":"https:\/\/mycryptomania.com\/?p=18898"},"modified":"2024-11-08T09:39:29","modified_gmt":"2024-11-08T09:39:29","slug":"jack-dorseys-block-shifts-focus-to-bitcoin-mining-and-self-custody-wallet-abandons-web5","status":"publish","type":"post","link":"https:\/\/mycryptomania.com\/?p=18898","title":{"rendered":"Jack Dorsey\u2019s Block Shifts Focus To Bitcoin Mining and Self-Custody Wallet, Abandons \u201cWeb5\u201d"},"content":{"rendered":"

Jack Dorsey\u2019s payment firm Block (SQ) announced a shift in focus, prioritizing the development of equipment for Bitcoin (BTC) miners and its self-custody crypto wallet, on 7 November 2024.\u00a0<\/span><\/p>\n

On the other hand, the company is distancing from its creation of a new decentralized internet dubbed \u201cWeb5\u201d while reducing investments in the music streaming app Tidal.<\/span><\/p>\n

The decision comes amidst a changing political landscape in the US with the recent victory of Donald Trump. <\/span><\/p>\n

Trump has particularly shown support for the Bitcoin mining industry. <\/span><\/p>\n

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Block To Reduce Headcount By 10%<\/span><\/h2>\n

The restructuring initiative aligns with Block\u2019s earlier announcement of a planned reduction in headcount by up to 10% by the end of 2024. The company attributed this decision to the rapid growth of its organization outpacing revenue growth.<\/span><\/p>\n

\u201cWe are scaling back our investment in TIDAL and winding down TBD [the business developing Web5]. This gives us room to invest in our bitcoin mining initiative, which has strong product market fit and a healthy pipeline of demand, and Bitkey, our self-custody wallet for bitcoin.\u201d<\/span><\/p>\n

Nevertheless, Block\u2019s third-quarter financial results fell short of Wall Street analysts\u2019 expectations, with reported revenue of $5.98 billion missing the consensus estimate of $6.24 billion.<\/span><\/p>\n

The stock price of the company experienced a notable decline of up to 10% following the announcement.<\/span><\/p>\n

Block Q3 Results $SQ<\/a> <\/p>\n

Total Gross Profit +19%
Cash App Gross Profit +21%
Square Gross Profit +16%
Adj. Operating Income +393% <\/p>\n

Stock is down 8% after hours pic.twitter.com\/9ktgtdSAhr<\/a><\/p>\n

\u2014 FinChat (@finchat_io) November 7, 2024<\/a><\/p>\n\n

While Block does not engage in Bitcoin mining directly, it supplies equipment to mining firms. Notably, the company has been actively involved in developing its <\/span>own<\/span> mining computer, including <\/span>the completion of<\/span> a 3-nanometer mining chip earlier this year. <\/span><\/p>\n

Core Scientific, one of the prominent Bitcoin miners, has already committed to utilizing Block\u2019s mining rigs f<\/span>or its operations.<\/span><\/p>\n

In parallel to its mining efforts, Block is intensifying its focus on Bitkey, its self-custody wallet designed to facilitate secure Bitcoin transactions. <\/span><\/p>\n

The wallet, which began shipping in March, integrates with Block\u2019s Cash App and popular crypto exchange Coinbase (COIN) to streamline the buying and selling of BTC for users.<\/span><\/p>\n

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Bitcoin Miners Hit Highest Bitcoin Production Post-Halving<\/span><\/h2>\n

As reported, Bitcoin mining giants Marathon Digital and Riot Platforms <\/span>have reported their highest<\/span><\/a> monthly\u00a0Bitcoin production figures since the April halving, marking a significant recovery for the sector.<\/span><\/p>\n

In October 2024, Marathon produced 717 Bitcoin, valued at approximately $48.8 million. CEO Fred Thiel said that the surge was partly due to a more robust hashrate, which increased over 14% to exceed 40 exahashes per second.<\/span><\/p>\n

Higher transaction fees during the month also contributed to Marathon\u2019s strong output, which accounted for around 5% of total Bitcoin production.<\/span><\/p>\n

Likewise, Riot Platforms reported a solid month, mining 505 Bitcoin valued at about $34.4 million in October, representing a 22.6% increase from the previous month.<\/span><\/p>\n

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The post Jack Dorsey\u2019s Block Shifts Focus To Bitcoin Mining and Self-Custody Wallet, Abandons \u201cWeb5\u201d<\/a> appeared first on <\/a>.<\/p>","protected":false},"excerpt":{"rendered":"

Jack Dorsey\u2019s payment firm Block (SQ) announced a shift in focus, prioritizing the development of equipment for Bitcoin (BTC) miners and its self-custody crypto wallet, on 7 November 2024.\u00a0 On the other hand, the company is distancing from its creation of a new decentralized internet dubbed \u201cWeb5\u201d while reducing investments in the music streaming app […]<\/p>\n","protected":false},"author":0,"featured_media":18899,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[4],"tags":[],"class_list":["post-18898","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-discovery"],"_links":{"self":[{"href":"https:\/\/mycryptomania.com\/index.php?rest_route=\/wp\/v2\/posts\/18898"}],"collection":[{"href":"https:\/\/mycryptomania.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/mycryptomania.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"replies":[{"embeddable":true,"href":"https:\/\/mycryptomania.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=18898"}],"version-history":[{"count":0,"href":"https:\/\/mycryptomania.com\/index.php?rest_route=\/wp\/v2\/posts\/18898\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/mycryptomania.com\/index.php?rest_route=\/wp\/v2\/media\/18899"}],"wp:attachment":[{"href":"https:\/\/mycryptomania.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=18898"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/mycryptomania.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=18898"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/mycryptomania.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=18898"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}