PANews reported on November 8 that according to CoinDesk, Jack Dorsey's payment company Block (formerly Square) announced that it will increase investment in Bitcoin mining equipment and self-hosted wallet Bitkey, while reducing investment in music streaming platform Tidal and ending the development of the decentralized Internet project "Web5". The decision came at a time when Trump won the US presidential election and promised to support the cryptocurrency industry in the United States, which is good for the Bitcoin mining industry, whose profits have been frustrated after the halving.
Block said in its third-quarter shareholder letter that it will focus its resources on the development of bitcoin mining equipment and the expansion of its self-hosted wallet Bitkey. The company completed the development of a 3-nanometer bitcoin mining chip in April this year, and its main customers include the large mining company Core Scientific. Bitkey has been shipping since March and can be connected to Block's Cash App and Coinbase trading platforms to support bitcoin buying and selling.
Block's restructuring measures came as its financial report revealed that its third-quarter revenue was $5.98 billion, lower than the market expectation of $6.24 billion, causing its stock price to fall by about 10%.
