According to Block, Inc., the sales of Bitcoin on Cash App saw a remarkable 34% increase in the second quarter compared to the same period last year, with a total of $2.4 billion. The gross profit from the sales of Bitcoin also saw an increase of 7% year over year, making a total of $44 million. Despite the declining prices, customers continued to purchase more of this digital asset. The company stated that the increase in revenue and gross profit was due to the larger quantity of Bitcoin sold to customers, although it was partially offset by a decrease in the average market price compared to the previous year.
Purchasing Bitcoin
Block emphasized its bitcoin investments, saying it spent $50 million in the fourth quarter of 2020 and $170 million in the first quarter of 2021.
According to observable market pricing, Block’s investment in Bitcoin was worth $245 million as of June 30, 2023, which was $142 million more than its carrying value following cumulative impairment charges.
Comparing the current quarter to the same quarter last year, revenue increased to $5.53 billion from $4.40 billion. Over time, gross profit climbed from $1.47 million to $1.87 million.
According to TradingView, Block shares fell 5.5% in post-market trading to $69.53. So far this year, the stock has gained 10.9%.
