Jack Dorsey’s payment company, Square Inc., revealed in its Q3 earnings report that mobile payments app Cash App saw a 23% drop in quarterly earnings generated by Bitcoin.
Nevertheless, both Bitcoin’s earnings and revenue have increased year-on-year.
Square attributes Bitcoin’s drop in revenue and gross earnings in the quarter to “relative stability of Bitcoin’s price, which affected business activity compared to previous quarters. “
Cash App allows US and UK users to buy Bitcoin and transfer money and BTC peer-to-peer. According to AppBrain, it currently ranks second for financial app installs on the US Google Play Store, behind crypto.com, which ranks first.
Bitcoin saw much less volatility in the third quarter of the year than in the second, after the price fell from a previous all-time high of almost $ 63,000 to about $ 31,000 in the second quarter, while in the third quarter the price of Bitcoin ranged between about $ 30,000 and $ 50,000.
The results report states that During the third quarter of 2021, Bitcoin’s revenue reached $ 1.82 billion, while Bitcoin’s gross profit reached $ 42 million, representing a year-on-year increase of 11% and 29%.. The report attributes part of this year-on-year growth to the rise in the price of Bitcoin.
Cash App is now targeting the teen market. On November 4, Jack dorsey tweeted that everyone over the age of 13 can use the Cash app for its ability to transact peer-to-peer, although they cannot use it to deposit checks or buy Bitcoin. This puts Cash App in competition with the familiar Apple Cash option. Adding Bitcoin functionality for teens would set it apart from all the others, including Apple Cash and Venmo, and could help increase profits.
Cash App is now available for everyone 13 and older https://t.co/TeK8uPQ9Tt
– jack⚡️ (@jack) November 3, 2021
Cash App is now available for everyone over 13 years old.
Despite Bitcoin’s weaker earnings, Cash App demonstrated strong overall growth in the third quarter of 2021, generating $ 2.39 billion in revenue and $ 512 million in gross profit, an increase of 16% and 33% respectively.
Cash App made headlines earlier this week by gaining the endorsement of popular NFL quarterback Aaron Rodgers, who stated that he was partnering with Cash App to accept a portion of his salary in Bitcoin.
Square Inc.’s share price has fallen to $ 237.88, which represents 3.87% less.
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