Bitcoin Takes Center Stage
In a remarkable twist, Bitcoin revenue for Cash App surged to $178 million in Q4 2019, making it a key player in Square’s financial success. This staggering figure not only eclipsed non-Bitcoin revenue, which stood at $183 million, but also highlighted Bitcoin’s growing footprint in the retail investment landscape.
Yearly Profit Surge: The Numbers Don’t Lie
Throughout 2019, Bitcoin accounted for over half a billion dollars in revenue, raking in about $8 million in profit—an impressive leap from just $1.7 million the previous year. This growth isn’t just a stroke of luck; it points to the ever-increasing appeal of Bitcoin among retail investors leveraging Cash App for their cryptocurrency trades.
Retail Investors Adopt Bitcoin
The data indicates that nearly 40% of Cash App’s Bitcoin revenue for the entire year came from the last quarter alone. It’s safe to say that Bitcoin isn’t just a fad for these users—it’s becoming a core part of their financial habits.
Cash App’s Popularity on the Rise
With 24 million active users, Cash App is making waves in the app marketplace. Ranking as the second most-used finance app on Google Play, it offers an enticing blend of fee-free stock trading and easy access to cryptocurrency. But despite the app’s popularity, the average user is not exactly a crypto whale.
Average Trade Insights
In fact, each user on Cash App trades an average of just $7.42 worth of Bitcoin monthly, which is good news considering it’s double the amount of December 2018’s average of $3.50. This raises an eyebrow—is Cash App becoming a gateway that could open users up to larger transactions in the future?
TikTok and Its Influence
Could social media be a significant factor in driving this growth? Cash App kicked off a campaign targeting younger Bitcoin investors through TikTok influencers. The strategy saw songs titled ‘Cash App’ created by TikTok musicians, generating millions of views and over 136.5 million views in total from both paid and organic videos. Now that’s a catchy way to spread the crypto love!
Final Thoughts: The Future of Cash App and Bitcoin
As Cash App continues to ride the wave of Bitcoin acceptance, it remains to be seen just how far this fascination will go. With profits still less than 1% of Square’s total gross profits, there’s ample room for growth. If the popularity of Bitcoin among retail investors continues and spreads, who knows? We might soon be looking at far more significant numbers in future quarters.
