- The revenue from bitcoin sales increases of 600% in Q2
- Bitcoin gross margin of 711% to $ 17 million
- Bitcoin margin gross margin as a share of the total is 2.85%, up from 0.55% in Q2 2019
Bitcoin revenue in the digital payments company Square has increased by 600% year on year to $875 Million in Q2 as the public health crisis took place. The company’s Q2 sales increased by 64% year on year to $1.92 billion, beating expectations. The adjusted EPS was 18 cents compared to a 5-cent loss forecast. The revenue growth would have been flat if not for bitcoin trading. The stock is up 11% this morning.
Source: The Block.
Square says that it only applies “a small margin for the market of bitcoin,” and it has generated $ 17 million of gross margin from operations, 711% year on year. Bitcoin, the gross margin as a percentage of the total has increased by 0.21% and 0.55% in Q1 and Q2 2019, respectively, to 1.24% and 2.85% in Q1 and Q2 2020, respectively.
In June, the company’s Cash flow App, which facilitates bitcoin trading, has had more than 30 million monthly active customers, and the gross margin for the ecosystem is up 167% year on year to $281 million. Cash App saw “strong adoption” of other products, such as Cash Card, Boost, and direct deposit.
Instead the results point to the history of Bitcoin’s growing popularity in the course of the pandemic. As a sharp drop in bond yields and stocks, the valuations increase to nosebleed levels, the cryptocurrency has become a place investors are looking to take the “alpha” or the best performance, ” said Matthew Dibb, co-founder and COO of Battery, to CoinDesk.