Block, Led by Jack Dorsey, Generates $2.52 Billion in Bitcoin Sales in Q4 2023 🚀
Block, the company led by Jack Dorsey, reported a total of $2.52 billion in Bitcoin sales to customers in the fourth quarter of 2023. This marks a significant 37% increase compared to the previous year. Additionally, Block received $207 million in overvalued Bitcoin assets and held about 8,038 BTC, valued at approximately $340 million.
“The year-over-year increase in bitcoin revenue and gross profit was driven by an increase in the average market price of bitcoin as well as a benefit from the price appreciation of our bitcoin inventory during the quarter.”
Block report
The company’s mobile payment platform, Cash App, also saw impressive results, making a profit of $66 million from Bitcoin sales. Bitcoin’s gross profit experienced a remarkable 90% year-over-year growth.
Positive Market Response Boosts Block’s Shares 📈
Following Thursday’s main session in New York, Block’s shares surged by 5.4% and closed at $67.96. The news of robust post-market reporting further drove up the stock quotes by another 13.2% to reach $76.9, marking the highest value since December 2023.
Layoffs Aimed at Streamlining Operations ⚙️
In late January, Block made the decision to lay off over 1,000 employees, which accounted for around 10% of its workforce. The company aimed to streamline operations and improve efficiency. The layoffs primarily affected employees working in the Cash App, Foundational, and Square divisions.
Hot Take: Block’s Bitcoin Sales Surge in Q4 2023 🚀
The impressive surge in Bitcoin sales reported by Block during the fourth quarter of 2023 demonstrates the company’s strong performance and market position. With a 37% year-over-year increase in sales, Block has proven its ability to capitalize on the rising market price of Bitcoin and leverage its bitcoin inventory for profit.
Furthermore, the success of Cash App’s Bitcoin sales, which generated a profit of $66 million, highlights the company’s diverse revenue streams and its ability to navigate the cryptocurrency market effectively.
While recent layoffs may have raised concerns, it is clear that Block is taking strategic steps to optimize its operations and streamline production. This commitment to efficiency will likely contribute to the company’s continued success in the crypto industry.
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