Jack Dorsey shifts to stablecoin payments! Stablecoins erode Bitcoin's potential role, Ark lowers BTC price target.

Twitter founder Jack Dorsey's payment platform Cash App launched a series of product updates on Thursday, including Bitcoin and stablecoin payment features, marking a significant shift for the company that has built its cryptocurrency image around Bitcoin. Ark Invest founder Cathie Wood has also lowered the Bitcoin price target due to the popularity of stablecoins. Could the recent fall of Bitcoin indicate a weakening of faith?

Jack Dorsey turns? Cash App launches stablecoin payment feature

Twitter founder Jack Dorsey's payment platform Cash App launched a series of product updates on Thursday, including Bitcoin and stablecoin payment features. This long-time Bitcoin supremacist, who has advocated for Bitcoin to serve as a foundation for everyday payments, is now guiding Block's Cash App to support stablecoins, which is undoubtedly a significant shift for a company that has built its Crypto Assets image around Bitcoin.

Cash App is one of the earliest applications to widely offer Bitcoin payment services, and its founder Dorsey has always believed that if Bitcoin, this primitive crypto asset, cannot become a daily payment tool, it will face the risk of being eliminated. To date, Block has adhered to this philosophy by focusing on supporting Bitcoin and has accumulated 24 million users who use the platform to buy, store, and use Bitcoin. Now, the company is expanding its business into the stablecoin space by enabling interoperability between stablecoins and users' cash balances. Users will soon be able to deposit stablecoins in the form of US dollars into their cash balance and send stablecoins to other people's wallets. The company plans to launch various stablecoins, including Circle's USDC.

Ark's Cathie Wood lowers Bitcoin price target due to stablecoin.

Ark Invest (Ark Invest) founder Cathie Wood made astonishing predictions about Bitcoin, leading the previous market boom. However, as institutional funds flow into assets aimed at stabilizing prices and gaining regulatory approval, she has revised her Bitcoin (BTC) price forecast for the “bull market” in 2030 from the original $1.5 million down to $1.2 million. This is her first public mention of the “erosion” of Bitcoin's potential role by stablecoins, although she still maintains an optimistic view of Bitcoin's long-term status as “digital gold.”

Wood stated on CNBC's program on November 6, 2025, that the adoption rate of stablecoins has far exceeded expectations, especially in emerging markets, where they have become tools for payment and storage, replacing part of the role originally expected for Bitcoin. “Stablecoins are eroding part of the role we originally thought Bitcoin would play.” Ark originally predicted a $1.5 million target for Bitcoin based on its multiple functions in storage, payment, and settlement networks. However, the rapid expansion of stablecoins has reduced Bitcoin's Total Addressable Market (TAM), particularly in the payment sector. Therefore, Ark has revised its target price down to $1.2 million.

Bitcoin payment is currently impacted by stablecoin.

Block Bitcoin product head Miles Suter stated in a statement to Bloomberg:

“Traditional fiat currency systems are currency 1.0, slow, costly, closed, and restricted by bank operating hours and national borders. Bitcoin is currency 2.0, the ultimate goal, truly decentralized, open, and permissionless. Stablecoins are currency 1.5, an improvement to the financial system.”

It makes sense that stablecoins have become a better payment option given that the general public still cannot accept the high volatility of Bitcoin prices.

This article discusses Jack Dorsey turning to stablecoin payments! Stablecoins erode Bitcoin's potential role, Ark lowers BTC target price, first appearing in Chain News ABMedia.