Ned Segal, Twitter’s chief financial officer, told the The Wall Street Journal that it makes no sense to buy cryptocurrencies at the moment. The speech takes place at the same time the social network launches a team dedicated to cryptocurrencies.
With the excuse that it would be necessary to restructure the investment policy, Twitter has probably already failed to make good money in recent years by not having bitcoin in its box. Not even Jack Dorsey’s love of bitcoin, founder of Twitter, was able to accomplish this.
While Square Inc, another Dorsey company, already has bitcoin in the box, as well as Twitter itself having bitcoin transfer implementations, it’s high time Twitter got off the fence, investing in bitcoin and not just pretty hashtags .
While Jack Dorsey, founder and CEO of Twitter, is a big supporter of Bitcoin, Ned Segal, the company’s chief financial officer, doesn’t seem to be such a fan of the world’s biggest cryptocurrency.
While Square Inc, another Dorsey company, already has bitcoin in the box as do other companies like Tesla and MicroStrategy, Twitter appears to be far from that path. Segal says that it would be necessary to make several decisions and implement changes to make this possible.
“We would have to change our investment policy and choose to own assets that are more volatile. […] There is a different set of decisions we would have to make if we had cryptocurrencies on our balance sheet.”, these Ned Segal, CFO do Twitter
According to a September report, Twitter has about $3.47 billion (£19 billion) in cash and other assets. If it converted part of this amount into bitcoin, it would be one of the companies with more cryptocurrencies in cash. Currently the biggest is MicroStrategy with 114,042 BTC (R$38 billion).
No bitcoin in the box, but with Bitcoin on the platform
Although Twitter’s CFO doesn’t seem willing to allocate part of the company’s cash to Bitcoin, the platform is slowly letting its users use Bitcoin within it to interact with other users.
The biggest case was the implementation of the tips system — tips that can be sent to others — with which it is possible to support content creators, for example, through the lightning network. However, today the service is only available in a few countries, such as the USA and El Salvador.
Other uses, such as the possible integration of using NFTs as an avatar, are also being worked on by Twitter, which has no release date yet. In addition, the company also created a team dedicated to cryptocurrencies, claiming to be preparing for the web 3.0 whose focus is to work in a decentralized way and rewarding its users.
Finally, it remains to be seen when Twitter will bet everything on Bitcoin, rather than putting the bitcoin symbol next to its hashtag, it is necessary for the company to put its hand in the fire by putting some bitcoins in its pocket.