Block Inc Joins S&P 500: A Major Milestone

Block Inc, the tech company known for its various ventures in the digital asset ecosystem, will officially join the S&P 500 on Wednesday, July 23. Following the announcement late Friday, the stock saw a 10% increase in after-hours trading. In a statement, the company expressed, "It’s a milestone that reflects the strength of our business and the dedication of thousands working to enhance economic access through our brands like Square, Cash App, Afterpay, TIDAL, Proto, and Bitkey. We are grateful to our customers, teams, and shareholders for their support on this journey. We are just getting started." Initially launched as Square in 2009, Block rebranded in December 2021 to Block Inc. to align with its increased focus on blockchain technology and digital assets. Block's Bitkey division offers a straightforward self-custody wallet for Bitcoin, while Proto provides a range of Bitcoin mining services and products. The addition to the S&P 500 comes just two months after Coinbase became the first dedicated cryptocurrency firm to be included in the index. Block will take the place of Hess, which is leaving the index due to its acquisition by Chevron. In the past year, Block has been investing 10% of its Bitcoin profits back into BTC each month and has open-sourced its treasury management strategies for other companies to adopt. Currently, Block holds 8,584 BTC, valued at approximately $1 billion based on current market prices. Last November, Block announced it would reduce funding for its music streaming platform Tidal and scale back its decentralized web platform development team. In April, the company settled for $40 million with New York's top financial authority over anti-money laundering compliance issues. As of now, Block's stock trades at around $72.82 per share, with a market capitalization of about $44.8 billion, according to The Block's XYZ price data. Disclaimer: This article is for informational purposes only and should not be construed as legal, investment, or financial advice.