Cash App sees huge revenue growth from Bitcoin in 2021 as the platform’s popularity increases dramatically. The platform was developed by Block (formerly known as Square) and generated Bitcoin revenue of $10.1 billion in 2021. Gross profit was $218 million, an increase by 124% compared to 2020. At the same time, the BTC platform’s revenue jumped by 119%. Overall, Cash App has done very well in 2021, especially in the bitcoin segment.
Cash and bitcoin app
In a recent quarterly report, Block reported on Cash App‘s performance in the fourth quarter of 2021. The numbers weren’t at all surprising, given how widely the platform and its CEO are adopting Bitcoin. In the fourth quarter of 2021, Bitcoin’s total revenue was $1.96 billion and gross profit was $46 million. Both figures have increased by 12% and 14% on an annual basis.
Quarterly business growth from the third quarter of 2021 was also positive in the fourth quarter. This is due to Bitcoin’s increasing volatility, which often results in more transactions and increased profits for businesses. The company’s total revenue and gross profit from Bitcoin were $10.1 billion and $218 million, respectively.
Confusion around income
After the reports came out, there was also some confusion regarding Block’s earnings. The FTX CEO asked Block to “stop calling that revenue.” So Block erased it, saying total bitcoin revenue means total bitcoin sales in 2021. And costs is the total bitcoin they bought. This means that their difference can be used to calculate profits.
About Cash App
Cash App (formerly Square Cash) is a mobile payment service created by Block, Inc. that allows users to send money to each other using a mobile phone application. Block Inc first named it “Square Cash” when it debuted on October 15, 2013, but was later changed to Cash App. The service is only offered in the United States and the United Kingdom. As of September 2021, the company had 70 million annual transactional customers and gross profit of $1.8 billion.
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