Jack Dorseys Block Reports 36M Impairment Loss on Bitcoin Holdings

Block Inc., the digital payments company co-founded by Jack Dorsey, reported a $36 million Bitcoin impairment loss in the second quarter, something the company attributed to “broader uncertainty around crypto assets.” On a three-year compound annual growth rate (CAGR) basis, Block’s Bitcoin revenue and gross profit, however, grew 143% and 168%, respectively. Dorsey, a vocal Bitcoin supporter, has made the world’s largest cryptocurrency a key priority at the company. Block, previously known as Square, spent $220 million buying up 8,027 Bitcoin to keep on its balance sheet. According to Block, as of June 30, 2022, the fair value of the company’s investment in Bitcoin was $160 million based on observable market prices.