Block Sees 31% Decline in Q2 Bitcoin Gross Profit on Lower Cash App Fees

Block's Bitcoin business saw a decline in gross profit of 31% in its second-quarter results, driven by lower Cash App fees and weaker trading volume. According to the company, revenue from its Bitcoin business fell 13% to $1.89 billion in Q2 from $2.17 billion a year earlier.

The main contributor to this decline was Block's strategic decision to cut some Bitcoin transaction fees on Cash App. This move had a significant impact on the company's gross profit, which dropped to $72 million from $105 million over the same period.

Block's overall business performance improved, with second-quarter gross profit rising 25% to $3.17 billion. The company also raised its full-year gross profit forecast to $12.51 billion due to growth in its Cash App and Square businesses.