The latest report by Hindenburg Research, which accused payment company Block Inc. of ignoring widespread fraud, had a significant impact on co-founder Jack Dorsey's net worth. On Thursday, Dorsey experienced his worst single-day decline since the allegations were made, with his fortune dropping by $526 million.
The report alleged that Block had inflated user metrics and suggested that the stock had a downside of 65% to 75% "on a purely fundamental basis." Block has denied the accusations and has announced plans to consider legal action against Hindenburg.
Dorsey, who also co-founded Twitter, has most of his personal wealth tied up in Block. According to the Bloomberg wealth index, his stake in the company is estimated to be worth $3 billion, while his position in Elon Musk's social media firm is valued at $388 million.