Cash App bitcoin sales jumped 34% in Q2 to $2.4 billion

Payment company Block, Inc. said that bitcoin sales on its Cash App platform jumped 34% in the second quarter from the same period last year to a whopping $2.4 billion.

Gross profit from the bitcoin sales came in at $44 million, up 7% year over year. The company said customers were buying more of the digital asset, even with declining prices. 

"The year-over-year increase in bitcoin revenue and gross profit was driven by an increase in the quantity of bitcoin sold to customers, partially offset by a decrease in the average market price of bitcoin compared to the prior-year period," the company said. 

Bitcoin investments

Block noted its bitcoin investments, having purchased $50 million in the fourth quarter of 2020 and $170 million in the first quarter of 2021. 

"As of June 30, 2023, the fair value of our investment in bitcoin was $245 million based on observable market prices, which was $142 million greater than the carrying value of the investment after cumulative impairment charges," Block wrote in the report.

Revenue for the quarter rose to $5.53 billion from $4.40 billion in the same quarter last year. Gross profit over the period increased to $1.87 million from $1.47 million.

Block shares declined 5.5% in post-market trading to $69.53, according to TradingView. The stock has rallied 10.9% so far this year.