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⚡Jack Dorsey's Block Reinvents Bitcoin♻️

Croxroad

04 May 2024 — 4 min read

☕️ GM Dear Plebs!

Here is Crox Road, your daily dose of orange pill that will turn you into a Bitcoin Maxi.

The menu for today:

🎃 Jack Dorsey's Block

Block, previously known as Square, Inc, has outlined a meticulous strategy during its recent earnings call to allocate 10% of its gross profits from Bitcoin-related products and services into purchasing Bitcoin. This initiative, which commenced in April and is slated to continue through 2024, entails a dollar-cost averaging (DCA) purchase program. Under this program, Block will systematically invest a portion of its gross profit from Bitcoin products into Bitcoin purchases on a monthly basis.

The rationale behind this approach, as elucidated by Block, is more than just financial. It's about adhering to a principled investment strategy rather than sporadic lump sum purchases. The company has articulated a comprehensive blueprint detailing how its Bitcoin holdings will be stored, insured, and accounted for over the next few years.

Despite the global economic uncertainties, Block reported robust financials in the first quarter, with gross profits soaring to $2 billion, a 22% increase from the previous year. Revenue also surged to nearly $6 billion, marking a 19% year-over-year growth. Notably, a substantial portion of Block’s revenue in the first quarter stemmed from Bitcoin sales to customers, amounting to $2.7 billion.

This renewed commitment to Bitcoin follows Block’s recent launch of a service enabling companies to convert a portion of their revenue into Bitcoin automatically. Leveraging its Square and Cash App ecosystem, Block charges a nominal fee for this service. The company’s stock experienced a surge post-earnings, reflecting investor optimism in its Bitcoin-focused strategy, albeit settling to $72.17 as of writing. With this strategic shift towards Bitcoin, Block aims to solidify its position in the evolving landscape of digital assets.

🇩🇴 Bitcoin Dominicana

In Latin America, inflation has become an ongoing issue, eroding salaries and pushing the working population to seek alternative means to cope with the economy. It's increasingly common to encounter individuals thirsty for knowledge in the realm of digital income. In this context, in the Dominican Republic, a forward-thinking man, Pedro Vital, has committed himself to founding Bitcoin Dominicana.

The mission of this institution is to educate and empower communities eager to learn, especially the younger generations, adapting information to be accessible to all types of audiences. In this podcast, we'll delve into what Bitcoin Dominicana is and how it operates, guided by our interviewee, Pedro Vital.

Pedro shares that his initial interest in Bitcoin stemmed from pure curiosity. But upon observing events in El Salvador, where decentralisation was taking shape, his fascination grew, leading him to establish Bitcoin Dominicana. The entity not only focuses on studying and understanding Bitcoin but also provides support to entrepreneurial parents and teenagers, recognizing that the world of Bitcoin isn't exclusive to millionaires but to millions of people seeking to participate in the digital economy.

The receptiveness of the youth has been remarkable. Young people, ranging from 7 to 18 years old, see Bitcoin as a life opportunity. With inflation weakening the national currency day by day, young people actively seek ways to generate income online. Teaching Bitcoin to children and young people is done simply, using digital platforms and games that allow them to grasp financial concepts while empowering themselves. Regarding tourism, Pedro highlights an evolving alliance between the tourism industry and mining, envisioning a future where Bitcoin plays a central role in the tourism sector not only in the Dominican Republic but throughout Latin America and beyond.

💵 Fiat Currency

Fiat currency, such as the U.S. dollar, euro, or British pound, derives its value from the trust and confidence placed in the issuing government, rather than being backed by a physical commodity like gold or silver. These currencies are supported by the full faith and credit of their respective nation-states, relying on government regulations and central banking systems for stability and value determination.

🤣 Crox Road Memes

“Bitcoin is not just digital currency. It's a revolution. I used to trade fiat for Bitcoin. Now that's a paradigm shift. Have you ever traded fiat for Bitcoin?”