Blockchain
Block (SQ) Adding more Bitcoin (BTC) to the balance sheet
Payments firm Block (SQ) has started a dollar cost averaging (DCA) program to add to its already sizable bitcoin (BTC) stack.
Led by CEO Jack Dorsey, the company in April began using 10% of its monthly gross bitcoin profit to purchase additional bitcoin, with plans to do so every month for the remainder of 2024.
For perspective, Block reported a bitcoin gross profit of $80 million in the first quarter, according to its earnings results. If that level of profit continued for the rest of the year, the company under this program would add another $24 million in bitcoin to its balance sheet.
Block already has sizeable bitcoin holdings, having purchased 4,709 bitcoins in October 2020 and another 3,318 tokens in early 2021. At today’s price of around $59,000, that bitcoin is now worth around $4.7 billion.
In addition to this news, the company also released its own Bitcoin project for corporate balance sheetsin which he describes the process by which he is able to acquire large quantities of cryptocurrencies without unduly moving the market and how he holds, insures and accounts for the holdings.