Block’s Cash App posts $1.96B in Bitcoin Revenue for Q4 2021

Cash App, a mobile payment subsidiary of payments giant Block, recorded $1.96 billion in Bitcoin revenue during the fourth quarter of 2021, Block revealed in the financial results Thursday.

“In the fourth quarter of 2021, total net revenue was $4.08 billion, up 29% year over year, and, excluding bitcoin revenue, total net revenue was $2.12 billion, up 51% year over year,” the company said in a statement, noting that nearly half of the revenue came from Bitcoin sales.

However, there wasn’t much growth in profits compared to its previous quarter. Cash App earned a gross profit of $46 million from Bitcoin transactions, exceeding Q3’s gross profit by just $3 million. Attributing the growth to Bitcoin’s annual returns, the firm explained:

“Bitcoin revenue and gross profit benefited from year-over-year increases in the price of bitcoin and number of bitcoin actives. Compared to the third quarter of 2021, bitcoin revenue and gross profit increased on a quarter-over-quarter basis, driven primarily by increased volatility in the price of bitcoin, which affected trading activity compared to the prior quarter.”

Overall, Block ended the year with positive growth, recording more than $1.18 billion in gross profit. Of the total, Cash App generated profits worth $518 million, up by 37% YoY. Its Square ecosystem, on the other hand, grew by 54% from the previous year at $657 million.

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