The bearded wonder Jack Dorsey is stepping down as CEO of Twitter to pursue other passions, which include conquering the world of crypto.
On Monday, the tech genius behind one of the world’s most popular social media sites—who nowadays looks like a cross between a Grateful Dead groupie and a wizard—announced that he is leaving Twitter effective immediately to focus more on the opportunities offered by cryptocurrency.
At a conference earlier this year, Dorsey said that “If I were not at Square or Twitter, I’d be working on bitcoin.”
And, indeed, that is what Dorsey intends on doing now that he is no longer leading Twitter, the company he co-founded in 2006.
From Twitter To Crypto
Dorsey also founded Square Inc., an online payment system that he intends to use as a platform for cryptocurrencies.
The Square CEO has previously said that his company is considering joining the bitcoin mining business and has announced plans to launch “tbDex” which will be a decentralized exchange for buying and selling cryptocurrencies.
Square is also constructing its own hardware wallet to “make bitcoin custody mainstream.”
However, investors so far are not enamored with the news of Dorsey committing full time to Square.
Unhappy Investors
As of this writing, the stock price for the company remains at $207, which is far lower than the $280 the companies’ stock was trading in August.
Growth of shares in Twitter also remains subdues trading at $45.
Our Green Zone rating system isn’t too keen on either Twitter or Square.
We consider both companies to be “high risk stocks,” which means that we expect the stocks to significantly underperform the market over the next 12 months, and also “Short positions may capitalize on potentially negative price returns.”
Before leaving Twitter, Dorsey appeared to take a shot at Facebook CEO Mark Zuckerberg when he said, “There’s a lot of talk about the importance of a company being ‘founder-led.’ Ultimately I believe that’s severely limiting and a single point of failure.” He added, “I’ve worked hard to ensure this company can break away from its founding and founders.”
Whether Dorsey will have the last laugh at Zuckerberg’s expense is still to be determined. But for now, Jack Dorsey is betting his chips on cryptocurrency. Time will tell if that is a good strategy or not.
