- Block posted nearly $2.3 billion in gross profit in the first quarter.
- Its Proto Bitcoin chip is being built in the US to hedge against tariff risks.
- Full-year profit guidance was cut amid soft spending and macro pressure.
Donald Trump’s roller coaster trade war has rattled Bitcoin miners and chip producers, but Block is betting on resilience.
The company reported $2.29 billion in gross profit for the first quarter, up 9% from a year earlier, and reaffirmed its plan to launch a new Bitcoin mining chip, Proto, later this year.
CEO Jack Dorsey described how domestic production and strong supply chain ties will be a major strategic advantage amid growing concerns about tariffs and overseas manufacturing risk.
“We’re building in the United States,” Dorsey said, pointing to the company’s direct collaboration with domestic vendors and manufacturers as key to keeping Proto on track for release later this year.
He didn’t mention US President Donald Trump directly, but his emphasis on domestic production stands out.
Some US-based miners and chip importers have warned of crippling costs under tariff plans, with total duties on Chinese mining hardware potentially reaching as high as 150%.
Proto is Block’s effort to challenge dominant players like Bitmain and MicroBT, and Dorsey says it’s designed to serve both industrial miners and hobbyists.
“It’s not just the common huge miner form factor,” he said, describing the chip as flexible, open-source, and built with community input.
Beyond hardware, Block posted strong results from its core businesses.
Cash App‘s gross profit rose 10% to $1.38 billion, while Square climbed 9% to $898 million.
Adjusted operating income reached a record $466 million, up 28% year-over-year. The company opts to use non-GAAP, or generally accepted accounting principles, in its financial reports.
Still, it lowered its full-year outlook amid a “more dynamic” macro environment and weak consumer spending in Q1.
Executives now forecast $9.96 billion in gross profit for 2025, a 12% increase from last year.
Crypto market movers
- Bitcoin has gained 1.3% in the past 24 hours and is trading at $96,675.
- Ethereum is up 0.1% in the same period to $1,825.
What we’re reading
- Robinhood says it wants to be less reliant on crypto for revenue after 30% slump ― DL News
- Can These 4 Factions Stop Fighting Over a Crypto Market Structure Bill? ― Unchained
- 150 billion reasons to be bullish on ETH ― Milk Road
- Why Revolut welcomes UK crypto rules even though they’re ‘onerous’ ― DL News
Kyle Baird is DL News’ Weekend Editor. Got a tip? Email at kbaird@dlnews.com.
