Square Reports 600% Increase in Quarterly Bitcoin Revenue

Share this story:

Square CEO Jack Dorsey (Frederic Legrand – COMEO/Shutterstock)

Square’s bitcoin business is continuing its rapid growth, with Q2 revenue up 600% year on year.

  • Announced Tuesday, the San Francisco payments company said revenue made from selling bitcoin to its Cash App customers in Q2 came to a total of $875 million, six times the amount in the same period in 2019.
  • Square stresses it only takes a “small margin” selling bitcoin to customers, but Q2’s results still mean it made $17 million profit – up 711% year over year.
  • Square released its results ahead of schedule after someone gained “early external access.” It hasn’t provided any further details on what happened.
  • Since Square first enabled bitcoin buying through its Cash App in November 2017, it has grown to become a dominant part of the business.
  • While bitcoin made up only 5% of its revenue at $34 million in Q1 2018, it came to $65.5 million in the same quarter in 2019.
  • By Q4 2019, Square’s bitcoin revenue reached $178 million and $306 million in Q1 2020, $100 million more than the revenue generated from its fiat services.
  • But Tuesday’s results represent one of the biggest increases in quarter-to-quarter revenue to date. The company attributes the rise to a surge in customer demand and volumes as well as an increase in bitcoin’s circulating supply.
  • Square excludes bitcoin revenue from its total figures, saying that incorporating something so unpredictable and volatile into its results would make it hard to gauge the company’s overall performance.

See also: Grayscale Says Institutions Invested Record $900M in Crypto Products in Q2

Read more about…

SquareCoinFlash

Disclosure

The leader in blockchain news, CoinDesk is a media outlet that strives for the highest journalistic standards and abides by a strict set of editorial policies. CoinDesk is an independent operating subsidiary of Digital Currency Group, which invests in cryptocurrencies and blockchain startups.

All provided materials and tools are for entertainment purposes only and should never be considered financial advice. Crypto News 19 will not take any responsibility for lost funds based on investments/trades made on information found here or any linking website/affiliate. This includes all social media posts and all other communications occurring under the name Crypto News 19. You should always seek professional advice before making any investment or trade.