Better Payment Stock: Block vs. PayPal
Digital payments are becoming more prevalent around the world as the demand for cash dissipates and the rise of digital wallets continues. According to PwC, the number of cashless transactions is expected to skyrocket from 1 trillion in 2020 to more than 3 trillion in 2030. This will also likely contribute to the continued rise in peer-to-peer digital payments, which have also exploded in popularity in recent history.
So what companies are going to benefit from the rise in digital payments? While there are many players, two Motley Fool contributors look at the top dogs in the fintech industry and see which is a better buy today: Block (NYSE: SQ) or PayPal Holdings (NASDAQ: PYPL).
Jamie Louko: Unlike PayPal, which has only one booming business category, Block has thriving consumer-facing services and business-facing services. PayPal is known for Venmo, the leading peer-to-peer payments platform. However, in terms of products for business operations, Block thrives. The company's product ecosystem for merchants generated $661 million in gross profit in Q1, driven by some emerging opportunities.
Source Fool.com
