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Block shares plunge after Hindenburg says Jack Dorsey's company facilitates fraud
Shares of Jack Dorsey’s Block plunged over 18% after short-seller Hindenburg Research announced the payment company was its latest short position, alleging that the company allowed criminal activity to operate unchecked and “highly” inflates Cash App’s transacting userbase, a key metric of performance. The short-seller described Block’s know-your-customer efforts as a ”‘Wild West’ approach to compliance.” Hindenburg’s extensive report includes screenshots of internal systems and employee messages. “Our 2-year investigation has concluded that Block has systematically taken advantage of the ... (full story)