Square made headlines in the cryptocurrency markets on Thursday as it announced that it recorded $1.63 billion in Bitcoin revenues through the Cash App in Q3 2020.
According to Square’s data, the gross profit from Cash App’s Bitcoin feature for the period mentioned above was $32 million. Square introduced the BTC purchase service at the beginning of 2018, and the revenues from the service have added up to $3.4 billion until now.
The third quarter of 2020 was a successful period for Square, and it sold $1.63 billion bitcoin throughout this period. This figure emphasizes advancement and development in the firm’s Bitcoin business. Square’s gross profit from BTC sales in this period was $32 million, which is 15 times more than the same period last year. Square’s BTC sales in the third quarter of 2020 comprises around 90% of the BTC sales since the launch of this service. Square revealed that Bitcoin activities in Cash App are growing, and customers are becoming more engaged with Bitcoin.
Square attracted a lot of attention last month when it announced a $50 million investment in Bitcoin. This company believes in cryptocurrency and its essential role, seeing crypto as a way of participating in the global economy and monetary system. Square considers this investment a long-term investment, and the firm is confident about Bitcoin’s infrastructure and its future capabilities.
BTC sales represent only a fraction of Square’s gross profit. For instance, the net income from selling Bitcoin in the second quarter of this year was $17 million, and it was just 2.84% of the gross profit. Throughout the third quarter of 2020, CashApp created $385 million in gross profits. CashApp transactions have increased dramatically during this year, and it has provided various products for the customers.
Square noted that its 2020 CashApp redesign helped make CashApp users more likely to buy Bitcoin. The new version also introduced the option of buying and selling shares.
Square’s report about its Bitcoin sales indicates considerable growth in Bitcoin adoption. Today, many people and businesses are using crypto, and the cryptocurrency ecosystem is making progress.
Andrew is a writer that does most of his work on cryptocurrency-related topics. While he’s primarily interested in Bitcoin, he also follows major altcoins and the innovative ideas that new cryptocurrency and blockchain projects are bringing to the table.