After stepping down as Twitter’s CEO in 2008, Dorsey conceived the idea of developing a digital payment interface for smartphones and began working on his new venture “Square, Inc” along with his friend Jim McKelvey out of a small office in St. Louis. Square allowed users to receive credit card payments through a square-shaped card reader that could be plugged into the headphone jack of smartphones.
After receiving $10 million in its Series A funding, Square tested its first product in May 2010. It saw tremendous success within a year and was processing millions of dollars worth of transactions every week. By September 2012, the company was valued at over $3.2 billion.
Over the next few years, Square received a total of 7 rounds of funding until its IPO in November 2015. In 2017, Square began offering Bitcoin trading to certain users which resulted in a surge in its share values. In 2018, the company acquired Weebly, a web hosting and web constructing company and the following year, it sold Caviar (a food delivery service it had acquired in 2014) to DoorDash for over $410 million.
The majority of Jack Dorsey’s $6.9 billion net worth can be attributed to his approximate 11% stake in the $72.69 billion company. He is also an angel investor and has made a total of 26 personal investments (and 6 exits) in early-stage startups. Recently, he led the Series C round for a FinTech startup, Movii, where he invested $17 million. However, the majority of his portfolio is managed by the multi-family office, ICONiQ Capital.
ICONiQ Capital is a multi-family office and investment fund with around $83.5 billion in assets under management. The firm was founded in 2011 as a Limited Liability Company (LLC) by ex-Goldman Sachs analysts, Divesh Makan, Michael Sanders, and Chad Boeding in San Francisco, California. ICONiQ ‘s clientele consists of 257 HNWI – Mark Zuckerberg, Satya Nadella, Blake Lively, Ashton Kutcher, among others – and 45 charitable organisations.
In December 2021, Square changed its name to Block, Inc, indicating a move to focus more on cryptocurrency trading and blockchain-as-a-service. Jack Dorsey has been a firm believer in cryptocurrency, especially Bitcoin for years. In fact, in July 2021, Dorsey confirmed that cryptocurrency will play a major role in Twitter’s future.
In June 2022, Dorsey announced that The Block Head, one of Block’s Bitcoin business units, will be launching Web5, a combination of Web3 and Web 2.0, built on the Bitcoin blockchain. The key technologies that come with the latest iteration of the platform are decentralised identifiers (DID), decentralised web node (DWN), self-sovereignty identity service (SSIS), and a self-sovereignty identity software development kit (SSI-SDK).