Square’s Cash App Generated $1.8B in Bitcoin Revenue in Q3


Payments agency Square mentioned in its third-quarter earnings letter Thursday that its peer-to-peer cost service, Cash App, generated $1.82 billion of bitcoin income in the quarter and $42 million of gross revenue, up 115% and 29% 12 months over 12 months, respectively.

  • Bitcoin income and gross revenue decreased in the third quarter versus the second quarter, nevertheless, Square mentioned, citing the “relative stability in the price of bitcoin, which affected trading activity compared to prior quarters.”
  • Square additionally famous bitcoin income and gross revenue could fluctuate in future quarters given adjustments in buyer demand and bitcoin’s market value. It mentioned which may be significantly the case “as we lap strong growth rates on a year-over-year basis in the fourth quarter of 2020.”
  • Square’s complete internet income was $3.84 billion in the third quarter, up 27% 12 months over 12 months, whereas gross revenue was $1.13 billion, up 43% 12 months over 12 months.
  • On its third quarter convention name, the corporate mentioned it is going to launch a white paper on Nov. 19 relating to TBD, its new division centered on creating an open developer platform to construct a decentralized bitcoin change.
  • Square additionally mentioned on the decision that the corporate doesn’t plan on providing customers different cryptocurrencies outdoors of bitcoin. The firm mentioned it’s centered on constructing its {hardware} pockets and persevering with plans to permit people and companies to mine bitcoin. CEO Jack Dorsey initially alluded to the latter plan in a tweet a number of weeks in the past.
  • Shares of Square had been down about 4.9% in post-market buying and selling following the discharge of its Q3 outcomes.

UPDATE (Nov. 4, 22:03 UTC): Added name commentary together with up to date share motion.