>> from the heart of where innovation, power and money combined desk a lot, this is bloomberg technology with emily chang.

i am emily chang in san francisco and this is bloomberg technology. coming up, twitter makes a bet on bitcoin. the social network will allow users to send and receive tips with the cryptocurrency to help tweeters and give digital assets a boost. plus, taking a stand and taking the stand against facebook. the whistleblower who gave the wall street journal internal facebook documents, showing the company was aware of social and mental health risks, they are willing to testify before congress. and u.s. borders open up to the fully vaccinated but will they ever get back to pre-pandemic levels in travel? all of that in a moment but let's get a look at the markets first with kriti gupta. >> a second day of green on the screen. what is interesting is the story

of big tech again. there was leading the s&p 500 to the downside. today, they lead to the upside. the valid a whopping 1%. what isn't in on the rally? they are rebounding as they start to see the ever grand story contained to china. you can see the nasdaq golden dragon index. this was more in the bond market. you can see that show up in real yields spiking up here.

this is the metric that they are looking for. it has a lot to do with that correlation. that yield spooked tech investors. i really want to bring the conversation to social media stocks. ordinarily, some of that business revenue exposure would show up in social media stocks but look at this. you are seeing a little bit of a diversions. if there is a place to watch in technology, social media stocks, that is where the action is going to be. emily: thanks. twitter will let users send and receive tips using bitcoin as part of a push to help users make money from the service. twitter also looking into authenticating users' identity eyes. bloomberg check's kurt wagner joins us. jack dorsey at square has made a big bet on crypto, why is twitter making this move?

kurt: they want to give people a chance to make money to entice them to twitter to share blog posts, tweets, photos, whatever, and accepting bitcoin is one way to do that. this is important to jack dorsey. he believes that coin is an international currency. it is the way someone who lives in africa might be able to pay someone who lives in europe, who could pay someone in the united states. you don't have to deal with a currency exchange. this is a global solution to try -- they see this as a global solution to get users of their platform to make money. emily: how many people are tipping on twitter at this point? kurt: they just rolled out globally today to only ios users. if you are on android, you probably don't have it. it is probably a small percentage. tips people get are probably pretty small but this is the kind of thing you see other

platforms that are important with creators have. i think this is a feature that is par for the course if you want to plea -- if you want to be a place where creatures go. they have to have a chance to make money and this is one of the ways. emily: talk about what twitter is doing with an fts. -- an fts. kurt: they want to help people authenticate their an fts. people share on the profile, these are the an fts i own, but there is no way for twitter to authenticate ownership your that want to make it a place where people, and reliably share things they bought. it plays into this router lock chain phenomenon and the technology, something jack dorsey again is passionate about. he believes in blockchain, so

offering some nft product fits into that. this is the bare minimum, authenticating someone owns something is one thing. but imagine moving forward, it might be the kind of place someone could buy or sell an fts. they are not doing that yet but that is where it might be headed. emily: kurt wagner, thanks for that extra detail. twitter's push into cryptic o -- crypto is powered by strike, a payment network. ceo jack wallace joins us to talk about the partnership. how much new business do you think this will bring to bitcoin and strike itself? >> the simple answer is a lot. but i think the integration of the bitcoin and lightning monetary network has more implications for twitter just for strike than independence.

you are talking about a monetary network that spans the globe and can achieve instance, nearly free global cash finality, and comparing that with a widely distributed internet company like twitter, this is a huge deal. we are going to see a knock on effect. twitter will not be the last. this is the beginning of a broader trend of companies using the first global monetary network to interact with users in a monetary fashion. emily: we will have to see how popular tipping on twitter comes with bitcoin. a big partnership for you. you say more deals are coming with other players. how do you win those deals and outcompete other third-party providers want a piece? jack: you are going to call me crazy, it comes easy. because the bitcoin is an open monetary network. people are building on the bitcoin network all around the world, mig professors, companies

in san francisco, companies in china, the bitcoin network it's better day in and day out. you can't say the same about paypal, closed legacy updated financial system. the bitcoin network is open similar to the internet, in the same way google is a better company for every new website that comes up. we are a better company for everyone who joins the bitcoin open monetary network. we get better weather i do anything or not and that is the open nature of this system. it is the first open network money that we have seen in history. so, it comes easy. emily: if it is coming so easy, tell us how much volume is being done on the strike app itself? jack: a lot. i am not disclosing that. but we are happy where we are at. the company was founded 18 months ago and we integrated with twitter today. we are part of the el salvador push. i am proud of this company and where we are going, and them happy with the numbers. but that is my secret. maybe someday, yours to find

out. emily: let's talk about el salvador. how is business? jack: great. again, this is an open monetary network that can achieve physical monetary settlement anywhere. remittance payment to the u.s. or el salvador is free compared to the western union solution which takes days and upwards of 50%. you are seeing people migrate to a singular standard to settle value. that is bitcoin. you are starting to see monetary network that is inclusive to all. eight el salvador, over 70% of the bank was not bank. now, 100% of the company and receive payment and services at no cost. humidity is moving in the right direction. i am proud of that and bit coin is a key part of that. emily: it doesn't come easy to

el salvador. there has been pushed back the adoption of bitcoin. what countries are next, seeing how difficult it has been in the country? jack: no one in history, no country has fully agreed on any move. there is going to be adversaries to any decision ever made, especially at that scale. i think the biggest proponents, and the ones to gain advantage from integrating going as network and monetary asset are emerging markets. emerging markets face an unprecedented macroenvironment with the monetary expansion and central banks right now. it is not ok. it is crushing those markets, monetary markets that are on

bank because they are based on a cash standard and gatekeepers keep them out of the monetary network you and i rely on to live a high quality of life here there is no venmo in el salvador. there is no cash app. so emerging markets can hedge themselves against the monetary expansion happening at central banks to protect their purchasing power, protect their savings and grow their wealth. and they can gain access to the most inclusive monetary network with a simple internet connection. all you need is a connection and a mobile device and you have the best monetary experience in the bitcoin. emily: network you said you would allow users to keep their funds in bitcoin or tether, the exchange for fiat. it seemed you dropped tether option quickly. why? jack: it is optimized for the best experience for the best friend. we want the best for our consumers and people want cash, people want dollars. we listened to our users. one key property of building an experience that is valuable is being a good listener and being patient. we are constantly iterating perfection. there is no finish in building

software. it is a constant process. we continue to add features and services our consumers want. >> coming up, blowing the whistle on facebook. how a key source in a damaging series of reports about the network set to testify before congress. and i look at chipmakers, developing news, the biden administration considering invoking a national security law to force companies to provide information on inventory and sales of trips. -- chips. gina raimundo says it is aimed at alleviating bottlenecks and could identify hoarding, as the secretary wraps a summit with leaders of companies in the supply chain for chips. this is bloomberg. ♪

♪ emily: things could get more complicated for facebook. the whistleblower who leaked

internal documents saying the company knew about mental health risks from lat forms -- from its platforms is prepared to test of -- is prepared to testify before congress. naomi: there are more revelations that could possibly come from the whistleblower. a lot of that has happened. the wall street journal did this peak series based on documents and others from internal sources that claim facebook knows a lot more about the ills of its services and hasn't always acted in a way to address some of those issues. one of them is the effect instagram has on the mental health of young kids. nearly a third of teen girls say instagram makes them feel worse

about their bodies. there was reporting around what facebook knows around how human traffickers use their platform. it seems they do know a lot more. there was reporting on the fact facebook has what it calls crosscheck, which is a program to essentially give public people -- politicians, elite journalists -- freedom to break the rules without consequences. those are just some issues brought up by this "wall street journal" series and it looks like there could be more revelations. emily: facebook responded to this series of stories from the journey a couple times. this is from nick clegg.

the stories have contained deliberate mischaracterizations of what we are trying to do and conferred egregiously false motives to facebook leadership and employees. facebook is being compared to big tobacco. how's washington taking this? naomi: washington has reacted strongly. in addition to the fact they have been talking to this whistleblower, a hearing next week looks at, in which these documents are likely to come up again, and they are the ones drawing this comparison to big tobacco that allege facebook new and facebook in some cases misled them about what it knew. and they have vowed to respond and bring facebook to account. emily: bloomberg's naomi makes will continue to follow the fallout -- naomi mix will continue to follow the fallout. what travel will look like any post-pandemic world? we address the question to peter kern of expedia next. ♪

>> there is going to be a huge shift from leisure travel -- from business travel to leisure travel. business travel is not coming back. but the more people are home, the more they want to travel, cities, small towns, rural communities. >> we had to invest aggressively to bring more drivers on to the platform. >> travels back, governments are opening up capabilities to move around. this is my first business trip. great hotel at a great conference, the twa hotel. i love getting on the road again and i think that is going to be

contagious as the world opens up. emily: some of the ceos we spoke to this week at a form on what the travel industry will look like. the u.s. is expected to announce new rules for fully vaccinated air travelers. expedia ceo peter kern joins us. delta is not going away, but if the u.s. reopens to fully vaccinated people from other countries, how big a threat -- shall begin impact on the trend s you are seeing now? >> we have seen a spike in searches. but there is huge, pent up demand as we have seen in the u.s. when certain places open

and travelers can get there. i think getting vaccinated travelers to the u.s. will be a huge opportunity for the industry and us in particular because we are well known outside the u.s. for international travel. that is going to be a big boon for us. emily: and brian chesky maintains his position travel will never be the same. listen to part of my chat. brian: the world is continued to be more flexible. people don't go back to the office five days a week. some business travel is curved. if you believe those things, then travel is never going to come back the way it was. it is going to be different. i think there is going to be a new golden age of travel, it is just going to be really different. emily: do you still disagree? you believe business and leisure travel will come back to what

they were in 2019? peter: i don't disagree with brian. if you take his thesis that we don't go back to work five days a week, which is an open question, i'm assuming our company will go to hybrid work when we do come back, it is true, that you are expanding potential for longer weekend trips and things like that. different, sure. business travel though i think will return. i was with a leading bank ceo this week and he said a team of his was offered a business and five banks were offered the business and his team went in person. the others all did zoom and his team won. a huge piece of business. you are going to see bankers and lawyers and consultants to get on the road and go win business. brian may be underestimating the return of business travel. relationships, sales, a lot of things including building corporate culture only happened by being together.

but different, i agree with brian, it will be different. the makeup of travel will be different. i don't think net corporate travel will be material heard in -- hurt in the long term. i think it will still exist. and i agree with him that there will be a golden age, tons of pent up leisure demand like the kind we are seeing from europe coming to the u.s.. emily: meantime, you are unifying loyalty programs. expedia.com, orbits travelocity, a loyalty program for verb out -- v rbl. why are you doing this and what impact do you think it will have on the business? peter: this is a way for us to simplify our offerings for the consumer. it is about the consumer. it is about making all our brands and products available for the consumer in one plan. you can earn rewards anywhere and use them anywhere and we think that is a huge opportunity.

we have got three plans. they already have 145 million members. this is an opportunity to hugely expanded that, but also, an -- expand that. also, an opportunity for those customers to find a way to earn rewards at v rbl -- brb oh and maybe use those points for travel - vrbo and use those points for travel and take the family on vacation. it is a huge opportunity. and it is a big opportunity for us as a company to keep those people in our universe and have them understand that there was a reason you want to be in the expedia universe and use all the products. emily: my colleague has been doing a series on dangerous listings and focused on airbnb

and brian chesky said he would be willing to participate because of the platform that might -- because of a property that might get pulled from the platform, would expedia share that information with airbnb? peter: absolutely. customer safety is priority for us. we don't want to put any consumer in an unsafe position and anything we can do within the law, we are happy to do to rid the market of bad actors. emily: peter kern, ceo of expedia, thank you. coming up, he cofounded ethereum and is creator of blockchain, after the break, talking about all things crypto and the future with gavin would. this is bloomberg. ♪

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>> welcome back to bloomberg technology. >> i thought why not zoom into the streaming wars? it has been a couple of days since disney got that news. let's take a look here. roku, netflix, comcast or higher. this is not great news for those

investing in disney after that recovery trade and tech trade. what is not lagging is the names over in the food delivery business. i want to show you what door -- is doing. it is -- doordash is doing. they are thriving on a one-year basis. we have news they are leading the fundraising round. it is not just doordash doing well, they are actively investing in people with a similar business model. i want to end with cryptocurrencies. we can't and the check without talking about -- end the check without talking about crypto. crypto is doing his job. -- its job. emily: el salvador, a country that primarily uses the u.s. dollar has made bitcoin legal

tender. why the conventional wisdom is future. -- why the conventional wisdom is wrong about bitcoin's future. >> there is a place where bitcoin really is taking on the dollar. ever since he wrote the original bitcoin white paper, crypto fans have wondered if it would ever replace the dollar. in one corner of the globe, it really might. el salvador uses it as its main currency. that country has a population of less than 7 million people and they made bitcoin the legal tender. that means that el salvadoreans can pay taxes in bitcoin. and they will have to be accepting it as payment for goods and services alongside the dollar.

it is a big user of twitter. remittances are sent home by el salvadoreans and account as 20% of gdp. a large chunk of this gets lost in transfer fees which bitcoin can help to reduce. how did it go? not great. later in the day, cryptocurrency plunged 70% after the government disconnected its bitcoin while

-- wallet before reconnecting. the president tweeted about this, lapping up another 150 coins worth 26 million dolalr -- dollars. it had teething problems but it is also proof that bitcoin can and is used as a real-world currency. with that, crypto fans put off their biggest coup yet in a tiny, central american country. for more content like this, follow us on your favorite platforms. >> he helped doug the new age of -- develop the ethereum network and dubbed the new age of the

internet "web 3.0." he is the founder of the decentralized block chain. i want to bring in gavin wood. great to have you with us. you came up with the technical specs to back up ethereum. now you are working on polkadot which is meant to bring block chains together. >> that is why we started making polkadot. curiosity. it is always difficult to predict the real potential of technology until you build it and tried out but we are sure that polkadot provides a different possibility for the use of block chain. emily: how much traction is polkadot getting with users? who do you consider the main competition? gavin: last time i checked we were the second biggest developer outside of the cerium. -- ethereum.

i think that is a testament to the fundamental possibility that polkadot offers developers beyond the smart contract model we pioneered with ethereum. >> is it a race to outcompete ethereum? gavin: not outcompete. providing a new model. something more generalized, so the more abstract. just something -- what we imagined back in 2014. emily: there are strong, pattion--passionate but disparate communities in the bitcoin industry. is the goal to bring bitcoin and

i theory him and those communities together -- ethereum and those communities together? gavin: one of polkadot's desires was to bring all of these into systems. these systems are often properties that have very little possibility for interacting between themselves. certainly not in a fast and secure way. one of the things we wanted to solve with polkadot was the possibility of experimenting many different directions. not to have to be an independent and isolated hub but to be able to interoperate within each other. >> do you think there is a drawback to bitcoin maximal is him? -- maximalism? gavin: back when we were

beginning ethereum there were bitcoin maximalists. these guys were shouting us down and saying stuff like it will never work. you should just give up now and all of the rest of it. it is unfortunate when you are just there to push forward the technology with the same sort of goals, you want to help decentralize the world and reduce transaction friction between economic activities. it is kind of unfortunate that the thing that i am behind is good and the think -- the stuff that everyone else is behind is bad. part of what it is about is building bridges between ecosystems. to allow this less nationalistic, less maximalistic attitude about this.

>> this is all about what looming negligent could meet. have you hired any lobbyists or are you in touch with any lobbyists in the crypto industry ? >> we have a crypto -- we have people connected in these conversations. i think regulation is -- it can be useful driving force for this. what i am seeing a lot of these days are decentralized product. decentralized in name but the technology and reality are not

very decentralized at all. this is having a working effect on the market. i would hope that regulators could set this straight a little bit and identify these decentralized projects, make it clear who these projects are. or to bring them into the same rules, the decentralized products that they have to work under. >> the problem that ethereum is battling right now is they are visible for a time. they are picking up the coin and selling it back quickly. this exploded with the help of open source tools. how big of a problem the think this will continue to be? >> this is a pretty big problem. it is a pretty good example of

why we started down that path. smart contract platforms, although they are incomplete, they don't have a very liberal execution model in terms of how you will get code-2 is acute. the reality is with a theory him, we have another smart contract platform. we have a trend active execution. this business logic that is driving the trading is only executive at the behest of users and trans actors and minors. this is different to the free execution model where the applications, the ones that provide the business logic are yet to determine what executes and when. that means the application can reorder, reinterpret the

transacted input in order to deliver the application. >> lots to continue to figure out. great to have your thoughts, gavin. coming up, out with earnings. we will find out what investors could expect. this is bloomberg. ♪

>> apple may need to rethink its iphone design if the eu gets its way.

they are looking to simplify life for consumers. apple says it risks hurting innovation. and personalizing your shopping. stitch fix, the company known for on-demand selling services reported earnings earlier this week, jumping on this. shares have fallen almost 30% after surging 129% last year as the company benefited from the online shopping search. joining me now for more on the numbers is elizabeth. great to have you back with us. talk about the trends that you saw as we continue to travel through a pandemic. how has that played out for stitch fix? >> great to be here.

thank you for the question. it has been a wild ride. our results with 29% year-over-year. we will see this continued migration to the personalized shopping platform known as stitch fix. we added close to 300,000 over the back half of the year. what we characterize is our progress on innovation and a change in consumer shopping behavior. our category is -- has gone from 25% to 45% online. this is the growth in our revenue. part of why we think that is as for the investment we made in innovation. they can preview 10 items, three quarters are opting into that. both of those things contributed to a great quarter. most excitingly, they are open to new customers. >> shares are still down significantly.

what is the message to investors? >> we are dramatically expanding our market. what this represents is your own personalized store. we know that three quarters of students struggle with this. this is your own personalized store. what is so petty is it opens up her entire market. you can see just the things that matter to you. we have seen growth well beyond what we saw in fixes. freestyle dramatically opens up for us. >> states fix faced some criticism. you tightened up some of the stylists. you are relying more on ai to make styling recommendations. how have you addressed this problem? >> styling has always been part

of the dna. we are scaling our experience. that combination has created just a powerful dynamic. as we evolve our experience, we made some adjustments, making sure we had the right inventory at the right time. we know that some of those changes would not work for everybody. that said, we learned a lot in the process. there was flexibility that mattered more than we appreciated. the part of the core dna is what is also powering our new freestyle offering. you can see this generated in adn stylist. how have you as rest this problem? what is the message to the stylists who continue to work for you tomorrow >> styling has always been part of the dna here. we are using a combination of styling, creative, judgment together with the power of data science. that combination has created the

powerful dynamic. when we send you things you never would have chosen for yourself. as we evolve our experience, we did make some adjustments about the likability, making sure we have the right inventory at the right time. we are having stylists working when we are matching the client demand. we knew those changes would not work for everybody. we were prepared for some to opt out. we learned some of the aspects of flex ability that mattered more than we appreciated. the core power and dna of this style is also powering our new freestyle offering. you can see this generated algorithmically. a lot of the power behind that is coming from our community. 10% of those outfits are coming from our styling community.

the rest are being powered by how we are helping to train our machine learning models. this is a key point of our freestyle shopping experience. we continue to see growth in that as well. >> all right. thank you for explaining that. thank you for taking the time to join us. >> coming up next, we will find out how barstool is in on the f. that is next, this is is

>> investors have been making the most of this.

770,000 shares were bought. they snatched up $44 million of the share today. another 11 million on wednesday. shares have taken a hammering -- in boston based draftkings have have taken a hammering over the last few days. barstool sports is known for pushing the limits in a lot of ways. it started off as a media company and it has expanded into podcast creation, sports betting and it has made spiked drinks. the company founded by dave portnoy is moving into the ghost -- the food industry and is launching a frozen pizza line with walmart and it is going into the ghost kitchen trend with the help of robert earl. >> one of the great things about barstool sports is we started from the internet and we came from the internet but increasingly, we are getting

physical. we will be opening our own bars and restaurants this fall. we tapped robert earl to create barstool bites with us. aircrew spends most saturdays and sundays on the couch watching football. what better way to curate that with our talent and personality. the same thing with one bite frozen pizza. what better person to create a frozen pizza that people can enjoy at home? >> is it a ghost kitchen concept? >> what barstool bites -- it is a ghost kitchen. you can go on to uber eats, you can go to grubhub. you collect barstool bites, you

choose your menu, there will be hundreds of restaurants. we have chosen restaurants that were the recipient of the barstow fund. restaurants we helped during covid and the ghost kitchen concept enabled consumers to get a food item anywhere at any time through whatever delivery service they used and the quality and the brand will be the same. >> would you ever consider going public? >> we have a majority stake investment from penn national. we love our partners. we thought about it when we did the penn transaction. barstow has been around 18 years. people have always tried to find a way to support barstool. at first it was buying t-shirts and then it was watching our content and that supporting our

advertising partners. now you can buy our pizza, our alcohol, grooming products. you can support us through our partners at 10. >> it is hard to create one competitive step for us. we compete with nbc, espn, bleacher report, mgm, draftkings . we look at everyone as a competitor and what we are trying to figure out is how we tarnish what we know what to do and to do it in a way that is really authentic to barstool. that is what keeps us motivated. >> barstool sports cl erica nardini. that does it for this edition of bloomberg technology. make sure you tune in tomorrow. we will be joined by sam

backman. i am in lynching in san francisco. this is bloomberg. -- emily chang in san francisco, this is bloomberg. ♪

>> the following is a paid program. the opinions and views expressed do not reflect those of bloomberg lp, its affiliates, or its employees. announcer: the following is a paid presentation brought to you by rare collectibles tv. >> in a letter dated back to december 27, 1904 to the secretary of treasury, president theodore roosevelt wrote a short, two-sentence letter, in typical theodore roosevelt direct bravado style. "my dear secretary shaw, i think our coinage is artistically of atrocious hideousness. would it be possible, without

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