Block, under Jack Dorsey’s leadership, reported a $207 million profit from Bitcoin. This was after strategic investments totaling $220 million in 2020 and 2021.
By year-end 2023, Block’s Bitcoin holdings were 8,038 BTC. Their value has now grown to exceed $400 million, highlighting the growing institutional trust in Bitcoin as a valuable asset.
Block’s Share Surges After Reporting Bitcoin Profits
Block’s latest earnings reveal $2.52 billion in Bitcoin sales through Cash App, marking a 37% year-over-year increase. Consequently, Block’s stock price surged 5.3% on Thursday, reflecting investor confidence in the company’s crypto ventures.
“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,” the report states.
Block’s Cash App has been pivotal in Bitcoin transactions The increase from the previous year highlights Cash App’s role in making crypto investments accessible. Dorsey aims to make Cash App a trusted banking alternative, emphasizing its user-friendly features.
Read more: Cash App Review 2023: Everything You Need To Know
The crypto market’s resurgence in the fourth quarter of 2023 is also noteworthy, with Coinbase exceeding Wall Street expectations. Coinbase’s revenue soared by 45.2%, driven by increased transactional activity.
This aligns with the broader institutional and consumer Bitcoin accumulation trend, reshaping investment strategies.
Companies and Countries Accumulating Bitcoin
For instance, MicroStrategy has notably impacted the Bitcoin investment arena. The company’s bold Bitcoin accumulation strategy has led to an unrealized profit of $3.7 billion.
According to Saylor Tracker, MicroStrategy holds 190,000 BTC, valued at $9.74 billion. The average cost per Bitcoin was $31,464. This reflects MicroStrategy’s belief in the long-term value of digital currency.
Similarly, El Salvador is also famous for its Bitcoin accumulation strategy, becoming the first country to adopt BTC as a legal tender in 2021. The country’s Bitcoin holdings are 2,843 BTC, worth $145.4 million. The average purchase cost was $42,482 per Bitcoin.
Read more: Who Owns the Most Bitcoin in 2024?
This investment has brought El Salvador an unrealized profit of $24.6 million, showcasing the potential of Bitcoin in national financial strategies.
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