SQ - Jack Dorsey's Block Mints $207M Profit From Bitcoin Investment Boosted By Cash App's Appeal Among High Earners | Benzinga
Block Inc. (NASDAQ:SQ), the financial technology company led by former Twitter CEO Jack Dorsey on Thursday reported a rise in profits from its Bitcoin (CRYPTO: BTC) sales made through the Cash App.
What Happened: In the fourth quarter of 2023, the company saw a gross profit of $66 million—marking a 90% boost year-over-year.
According to the firm’s shareholder report, Bitcoin sales to customers reached $2.52 billion in the same period, showing a 37% year-over-year increase. “The year-over-year increase in Bitcoin revenue and gross profit was driven by an increase in the average market price of Bitcoin as well as a benefit from the price appreciation of our Bitcoin inventory during the quarter."
In the span between late 2020 and early 2021, Block made strategic investments in Bitcoin, purchasing $50 million and later $170 million worth of the cryptocurrency. As of the end of 2023, Block’s investment had grown to 8,038 Bitcoins, valued at approximately $340 million. The company currently enjoys a profit gain estimated at $207 ...