ARK Invest liquidated its position in PayPal shares. Asset manager Kathy Wood, CEO of asset manager Kathy Wood, explained the move as more confidence in the prospects of Cash App from rival Block (formerly Square) in an interview with CNBC.

PayPal owns mobile payments service Venmo, which added the ability to buy and sell cryptocurrencies in April 2021. But the leader for Wood is Cash App, thanks to the support of the Lightning Network. The CEO of ARK Invest said that Block, unlike PayPal, takes a more comprehensive approach to the integration of wallets with digital assets.

“We tend to bet on the person we think will be the winner”he explained.

Wood said the Cash App user base is growing more organically, with Venmo “now fundamentally” handling the development of support for cryptocurrencies.

Venmo tracker has 70 million active users, CashApp – 44 million In 2021, the net profit of the first was $ 850 million, the second – $ 2.03 billion.

Recall that in April 2022, representatives of Cash App announced the addition of automatic investment functions to bitcoin.

In December 2021, Square changed its name to Block. The initiative was linked to the desire to reflect the growth of the structure and its commitment to blockchain projects.

Earlier, the company’s president, Jack Dorsey, has repeatedly expressed his desire to make digital gold “the local currency of the Internet.”