$2.72 Billion in Revenue Reports Square, Despite Major Bitcoin Market Correction
Jack Dorsey’s finance company Square’s peer-to-peer payment service Cash App has subsequently earned $2.72 billion in bitcoin revenue in the second quarter.
Although this proportion represents an annual growth of 143 percent, the figure is lower than the $3.5 billion revenue gains that were reported by the firm in the last quarter.
While analyzing the net revenue source, the Bitcoin service accounts for the huge share in Sqares’s total Q2 worth revenue that was about $4.68 billion.
Total revenue, including Bitcoin, was $4.68 billion. Bitcoin revenue alone is $2.72 billion, which is less than the $3.4 billion that was estimated by the analysts. Concerning this, the firm Square said “Bitcoin earnings declined due to the relative stability of bitcoin prices, which affected trading activity in the last quarter”.
Despite the recent major market correction, Square was able to ensure significant growth in revenue in services related to bitcoin. In Q2, more than 40 percent of bearish support news attacks were sent into high cryptocurrency protection and all this resulted in Bitcoin recorded one of its worst quarters.
Square’s Bitcoin net profit was just $55 million in the second quarter, this was a significant decrease of 26 percent from $75 million gains that were reported in Q1 this year.
While due to a significant decline in the cryptocurrency market in Q2, Square had reported a $45 million loss on its Bitcoin investment.
While the Electric car makers, Tesla has also reported a greater loss of $23 million in bitcoin that adds up to their previous losses in the month of July.
While following the similar trails of Microstrategy, Square has become one of the first public companies that have added its bitcoin holdings to its balance sheet.
Last October the firm had invested $50 million worth in Bitcoin, and now the company has added more to their Bitcoin Funds by buying $70 million more in February.