Block’s Core Business Sees Significant Growth, Continues to Increase Bitcoin Holdings, and Considers Entering the Stablecoin Market
Driven by Strong Performance in Cash App Lending and Payment Business, Jack Dorsey’s Block (Stock Code XYZ) Surpasses Wall Street Profit Expectations in Q2 and Raises Full-Year Profit Outlook
Block has continuously promoted Bitcoin adoption over the past eight years, aiming to make Bitcoin a tool for everyday payments. CEO Dorsey is also considering entering the stablecoin business. Block holds 8,692 Bitcoins and recognized a revaluation gain of $212 million this season.
Significant Growth in Block’s Core Business
Block’s gross profit rose to $2.537 billion this season, a year-on-year increase of 16%, driven by strong performance in Cash App lending and payment services. The usage of Cash App cards and the “buy now, pay later” model also contributed to this growth.
Block’s Q2 EPS reached $0.87, with adjusted EPS at $0.62, showing a trend of quarter-on-quarter growth.
Aiming to Make Bitcoin a Tool for Everyday Payments, Considering Entering Stablecoin Business
Block has continuously promoted Bitcoin adoption over the past eight years, with a cumulative transaction volume exceeding $58 billion in Cash App, indicating high user engagement with Bitcoin. The company recently raised the Bitcoin withdrawal limit, allowing users more flexibility in using Bitcoin.
In May 2025, Block will enable Square merchants to accept Bitcoin payments. After consumers pay using Cash App, merchants can choose to settle in Bitcoin or local currency. Block plans to expand this promotion to millions of merchants (excluding New York and some international markets) in the second half of 2025.
According to its financial report, Bitcoin-related business contributed $81.15 million in gross profit (Bitcoin revenue minus costs) in Q2.
CEO Dorsey also expressed his views on the rising trend of stablecoins. He noted that stablecoins are primarily used for remittances, but if they become more payment-oriented, Block will enter this business. He took the opportunity to emphasize the company’s commitment to Bitcoin.
Block Holds 8,692 Bitcoins, Recognizing $212 Million in Revaluation Gains This Season
Starting in April 2024, Block will allocate 10% of the gross profit from its Bitcoin products each month to purchase Bitcoin. As of June 30, 2025, the company holds 8,692 Bitcoins, with a cost of $272 million and a fair value of $932 million.
These Bitcoins are listed under “Other Non-Current Assets” on the balance sheet. They are revalued at the end of each quarter based on market prices, with the gains or losses recorded under “Bitcoin Investment Remeasurement Gain/Loss.” Block recognized a revaluation gain of $212 million this season.
Risk Warning
Investing in cryptocurrencies carries a high risk, as their prices may fluctuate significantly, and you may lose your entire principal. Please assess risks carefully.
