Cash App’s Bitcoin Revenue Hit $1.96 Billion in Q4 2021

• Block, the parent company of Cash App has disclosed that the company generated $1.96 billion in bitcoin revenue in the 4th quarter of 2021

• The company also recorded $46 million in Bitcoin gross profit, up 12% and 14% year-over-year, respectively

• As of December 2021, the value of the tech company’s Bitcoin holdings was $371 million

Popular payment service, Cash App, which was developed by Block Inc., has become a highly popular platform for purchasing Bitcoin. The company’s earning report which was released on Thursday shows that $1.96 billion was accrued in Bitcoin revenue during the 4th quarter of 2021.

The figures which can be seen on page 10 of the earnings report indicate that Block generated more than $4 billion in net revenue throughout the Q4. The company disclosed that $2.12 billion was generated, excluding Bitcoin revenue. This indicates that nearly half of the company’s cash inflows were due to Cash App’s Bitcoin exchange service. This indicates a 12% increase in Bitcoin revenue year-over-year.

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Out of this amount, however, only 2% translated into profit for Block. That company’s profit majorly came in the form of the transaction fee that it charges on an average Bitcoin purchase. From this, $46 million was made in profit.

For the entirety of 2021, Cash App reports over $10 billion in Bitcoin revenue, and $218 million was recorded as gross profit from the sale of the flagship cryptocurrency. The company claims that the impressive figure was down to Bitcoin’s appreciation as a primary driver for increase, as well as the growth in Bitcoin users.

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