Block, the parent company of Cash App, Afterpay, and Square, is set to integrate Afterpay's buy now, pay later (BNPL) service into its 24 million Cash App debit cards, as announced by CFO Amrita Ahuja during a recent earnings call. This strategic move aims to attract the 45 million U.S. adults who lack access to traditional credit. Since acquiring Afterpay for $29 billion in January 2022, Block has seen significant consumer engagement, with $72 billion spent through Afterpay and a 23% year-over-year increase in gross merchandise value from BNPL services. Block's third-quarter earnings showed a net income of $283.8 million, a notable improvement from the previous year, although it fell short of analyst expectations. The integration of Afterpay is expected to enhance user engagement and drive adoption of Block's banking products. Additionally, regulatory clarity in the U.S. could further benefit Block's bitcoin ventures, as highlighted by CEO Jack Dorsey.
Read the full article here.