RATE Group | Most of Cash App’s $528M Revenue in Q1 Came From Bitcoin
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Most of Cash App’s $528M Revenue in Q1 Came From Bitcoin

06 May Most of Cash App’s $528M Revenue in Q1 Came From Bitcoin

Posted at 23:28h in Bitcoin News by

On May 6, Square released its filings for the first quarter of 2020. The filings publicized revenue for Square’s Cash App, a majority of which came from Bitcoin.

The numbers for Q1 and Bitcoin’s role

$306 million of Cash App’s $528 million revenue for the first quarter of the year came from Bitcoin. 

Despite those numbers, Bitcoin composed a small fraction of Cash App’s profit, only $7 million of $183 million total profit. The company explained why it separated Bitcoin revenue as being more of a core mission:

“We deduct bitcoin revenue because our role is to facilitate customers’ access to bitcoin. When customers buy bitcoin through Cash App, we only apply a small margin to the market cost of bitcoin, which tends to be volatile and outside our control.”

Changes over the year amid COVID-19

Cash App reported a 115% increase in profit year-over-year. In an investor call on May 6, a member of Square’s team credited “efficient new customer acquisition,” which usually…

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