Twitter Says Why it Will Not Invest in Bitcoin

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Twitter’s CFO Ned Segal said in an interview with the WSJ that investing Twitter’s cash reserves in cryptocurrencies “doesn’t make sense right now.”

According to him, the social network prefers to hold less volatile instruments, for example, securities. Segal added:

“We would have to change our investment policy and choose to own assets that are more volatile.”

As of the end of September, Twitter had $3.47 billion in cash and cash equivalents and $3.94 billion in short-term investments.

Ned Segal had earlier reported Twitter is studying the possibility of using Bitcoin, but this will require additional decisions from the company.

Meanwhile, payments company Square, founded by Twitter CEO Jack Dorsey, continues to hold the leading crypto on its balance sheet. Square said:

“We have acquired Bitcoin, and it seems to us that not only demonstrates our interest, but also can bring benefits from a financial point of view in the long term.”

According to Bitcoin Treasuries, Square owns 8,027 BTC. At the current exchange, the assets are valued at more than $486 million.

In the third quarter of 2021, the company’s revenue from the sale of BTC through the Cash App was $1.82 billion with a gross profit of $42 million.