Headquartered in San Francisco, Square Inc. is a mobile payment firm and a merchant services aggregator which also offers financial services at the same time. The company reportedly made a $37 million revenue in the second quarter of 2018 through the sale of Bitcoin, without deviations.
As per the specifications provided by the company through the quarterly financial report presented this Wednesday, an overall net revenue of $814 million has been earned in Q2. Further, it could be seen that 6% of this revenue was obtained from the crypto-trade services initiated by the venture towards the end of 2017. The service came as an additional feature to the company’s existing Cash App.
Nevertheless, if the costs incurred by the firm ($36.5 million) to furnish the crypto-trade service are taken into consideration, then the profit margins up to $420,000.
As per the claims of the company, the profits in the first quarter margined up to $223,000 approximately. In spite of the stated, the profits have evidently doubled themselves. Additionally, the carrying value of Bitcoin held by the firm was mentioned to be $0.4 million as of June 30.
The Chief Financial Officer of the company, Sarah Friar, elucidated the objective of the crypto-trade service in a conference call, this Wednesday. He stated that the motive of the service was clearly not to “try to push on the monetization of bitcoin today.”
Square, initially introduced the digital-coin trading service for testing purposes in November 2017. Later, in January 2018, the launch of the crypto-trade service was officially announced by the owners, wherein almost all the consumers from all over the U.S. were allowed to carry out Bitcoin transactions.
Further, in June, the organisation also availed a BitLicense from the authorities of New York, thereby furnishing almost all the states of the country with their crypto-trade service.