Popular Burger Chain Testing Cryptocurrency Waters | ETF Trends

Shake Shack, a popular burger chain known for its specialty shakes, has announced a current promotion that is rewarding customers with bitcoin who use the digital wallet Cash App from Block Inc., reports the Wall Street Journal.

The promotion runs through mid-March and is giving customers 15% of their purchase back in bitcoin, as well as buying things through Cash Boost, the Cash Card rewards program for members. Individuals who are interested can access the promotion through Cash App under the Cash Boost program and Cash Card tab.

This move is testing to see the interest amongst its younger customers for cryptocurrency options and how well the burger chain can reach consumers on Cash App. It’s a targeted approach that makes sense, given that most of the customer base are millennials and Gen Z, according to Amrita Ahuja, the CFO for Shake Shack. While there is no current demand for cryptocurrency options, the chain is testing the waters to see if it wants to begin accepting cryptocurrencies for payment in the future.

“You’re always trying to place your bets on those things that truly will be meaningful and not waste resources on the ones that won’t,” said Jay Livingston, chief marketing officer at Shake Shack.

Block has allowed access to bitcoin through Cash App since 2018 and just last year opened up the option for users to send it back and forth on the app for free. This familiarity with bitcoin and crypto was what prompted Shake Shack to reach out to Block for the partnership. Loyalty and rewards programs that incorporate cryptocurrencies are often the easiest ways to introduce consumers to crypto according to Alex Adelman, co-founder and CEO of Lolli Inc., a bitcoin rewards company.

“If we just started taking crypto right now at our kiosk, it would have very low adoption,” Livingston said. “But through someone like Cash App, who’s been promoting it, you will get some more people that want it and that also want to learn.”

Investing in Block and Other Crypto Innovators With BLOK

For investors who want access to the growing crypto space through an actively managed fund that is able to respond to changing market conditions, the Amplify Transformational Data Sharing ETF (BLOK) can be a great solution.

BLOK currently has $969 million in AUM, is actively managed, and invests in companies directly involved in developing and using blockchain technology. BLOK was also the first blockchain ETF approved by the SEC and launched in 2018.

The fund invests in companies partnered with or directly investing in companies utilizing and developing blockchain technologies. However, the fund does not invest directly in blockchain technology or cryptocurrencies.

BLOK spreads its holdings across the size spectrum, investing in all market caps. As of the end of December, top allocations within the blockchain industry included transactional at 38.0%, crypto miners at 23.0%, and venture at 11%. BLOK invests across the blockchain landscape, in miners, exchanges, and developers.

Block (SQ) is carried within the fund at a 1.97% weight.

BLOK has an expense ratio of 0.71% and currently has 45 holdings.

For more news, information, and strategy, visit the Crypto Channel.