Certainly, Square’s Cash app’s Q3 report attributes the majority of revenue to Bitcoin. Specifically, 80% of revenue.
Said report shows that Bitcoin has outperformed all other sources of income. And it represents 80% of its total revenue of $ 2 billion in the third quarter.
The Square report
In fact, in the third quarter, Square’s Cash app has marked a Bitcoin (BTC) revenue increase of 1,100% year-over-year.
In this way, users have been heavily leveraging their Bitcoin service. Which marked $ 32 million in gross profit for the third quarter, breaking the prior year from $ 2.1 million.
Thus, Bitcoin revenue was the most important factor, equating to 78% of Cash App’s total $ 2 billion revenue. All other revenue streams, accounting for the remaining 22%, totaled $ 453 millions.
Thus, the Square report attributes the increase in sales to the Cash App Auto-Invest tool. It allows users to automate periodic daily or weekly purchases of BTC or traditional stocks.
In this regard, Square explained: “When customers buy Bitcoin through the Cash app, we only apply a small markup to the market cost. Which tends to be volatile and out of our control”.
The Cash App
By the way, Cash App is a payment solution app that also works as a Bitcoin broker. Charging a small commission on the purchase of users. For example, the payments firm, obtained $ 1.63 billion from its Bitcoin service.
As a fun fact, after the release of its Q3 report, Square’s share price rose more than 5%. Similarly, the price of Bitcoin has also risen in the same time period and is now at $ 15,767.
In addition to this, the report also mentioned the $ 50 million worth of Bitcoin (4,709 BTC) that he bought as a treasury asset. Following the increase in the price of BTC, this investment is now valued at $ 74.8 million.
Bitcoin purchases in Cash App
As is known, Square, from the CEO of Twitter, Jack dorsey, now allows its users to buy Bitcoin (BTC) automatically.
The news was confirmed on Twitter on May 18 by Dorsey. Finally, the Square Cash App now supports automated purchases of BTC at set time intervals.
According to Jack Dorsey: “Demand for Bitcoin has been on the rise for the past few months after the end of the crypto winter in April 2019. However, the biggest boost for demand for Bitcoin comes from the current global COVID-19 pandemic”.
According to this report, does Bitcoin interest seem to be on the rise? Leave us your opinion in the comment box.
By way of closing, Square emphasized: «We hope to maintain this investment in the long term».
I am retiring, but not before leaving you this phrase by Oliver Wendell Holmes “Don’t put your interest in money. But put your money at interest”.