Jack Dorsay announced, just three days after leaving Twitter on November 29, to rename Square, the company he founded in 2009 and has been running since. Square will soon transform into Block in order to better reflect the reality of society.
Square, Jack Dorsey’s source of income
When it comes to Jack Dorsey, Twitter immediately comes to mind. He co-founded the social network and has been its CEO since 2015. Yet the most lucrative activity of this figure of Silicon Valley is Square. The market capitalization of the latter is 92 billion dollars, that of Twitter of “only” 35 billion.
AWS hand in hand with the world of finance
It was originally a company offering credit card readers, to help merchants accept payments by smartphone. Since then, the activity has expanded to financial services, with a banking application, loans to small businesses, etc. Square also bought Australian company Afterpay in the summer of 2021 for $ 29 billion to offer new financial services.
Other companies have been added to the initial structure: Cash App to invest and transfer money or Bitcoins, TBD54566975 to facilitate access to Bitcoin and Blockchain without an intermediary, TIDAL, a streaming platform bought from Jay -Z… A third-party Square Crypto platform was developed separately to promote Bitcoin, it will be renamed Spiral.
Block transcribes the strategic reality of the company
Jack Dorsey’s interest in Bitcoin continues. Square has $ 220 million in cryptocurrency cash. The purpose of the change of the company’s name is to reflect this reality and the diversification of Square’s activities, ” a global ecosystem made up of many companies united by their objective of economic autonomy at the service of many people – individuals, artists, fans, developers and sellers “, Explains Jack Dorsey in a press release.
Like Facebook which has become Meta or Google which has become Alphabet, the transition from Square to Block reflects a strategic change already adopted by the company.
We’re changing our company name so we can give the full @Square brand to our Seller business. So now we need a name to tie @Square, @CashApp, @TIDAL, and @TBD54566975 together into one. That name is “Block.” Why? https://t.co/vVSKNnMUU3
— Square (@Square) December 1, 2021
In his announcement, Jack Dorsey justifies the choice of Block, a name whose different meanings cover all of the company’s activities, ” building blocks, neighborhood blocks and their local businesses, communities coming together at block parties full of music, a blockchain, a section of code and obstacles to overcome “. The name change must be completed once all the legal constraints have been settled, that is to say around December 10.