Square Doubles Bitcoin Revenue, Generating $125 Million via Cash App in Q2
Square generated $125 million in Bitcoin revenue in Q2 2019 through Cash App, double what it made during the previous quarter.
Payments company Square has generated $125 million in Bitcoin (BTC) revenue in the second quarter of 2019 through its mobile payments service Cash App.
Square released the information in the company’s Q2 2019 shareholder letter on Aug. 1. According to the letter, the company’s Bitcoin revenue benefited in part from the number one cryptocurrency’s price rally over the quarter. As a result of this price growth, there was also a correspondingly increased volume of Bitcoin, they say. This resulted in a $2 million gross profit for the company.
Cash App obtained $135 million in subscription-, services- and transaction-based revenue. This means that Bitcoin revenue alone almost matched these other services combined.
In Square’s Q1 2019 report in May, the company revealed that it achieved a new revenue high from Bitcoin sales via Cash App, with a stated Bitcoin revenue of $65.5 million. This means Square has more than doubled its Bitcoin revenue compared to the preceding quarter.
Square: a company bullish on Bitcoin
As previously reported by Cointelegraph, Steve Lee, a project manager at Square’s crypto branch — Square Crypto — heavily emphasized the company’s belief in Bitcoin in an ask me anything session on Twitter. Lee wrote that the company was “very, very pro-Bitcoin.”
Square also recently released a Bitcoin deposits feature on Cash App in late June. This reportedly enables Bitcoin users to deposit their assets from external wallets into Square’s payments application. However, the announcement cautioned that there would be some limitations — a cap of $10,000 in Bitcoin per seven days, and a wait of up to several hours to confirm the deposits via blockchain.
Disclaimer: This article was updated on August 2 5:00 PM UTC to more accurately reflect the distinction and comparison between Cash App’s Bitcoin revenue and other sources of income.