Jack Dorsey’s Block seeks to turn Cash App into a primary banking platform

Cash App is stepping up efforts to become a primary financial services provider as parent company Block seeks to restore trust, attract new customers and expand revenue beyond payments.

The platform, which gained millions of users through pandemic-era social media campaigns and promotions, is targeting “modern earners,” including gig workers and consumers who have historically struggled to access traditional banking services, according to Bloomberg.

Its monthly active transacting accounts roughly quadrupled between 2018 and 2024, but the expansion also brought increased scrutiny after state and federal agencies alleged that criminals used the platform for scams, drug transactions, money laundering and other illicit activities.

Block doubled its legal reserve for a possible settlement with the US Department of Justice to $526 million in August, with negotiations still underway. The company has also faced criticism over customer support and its handling of suspected fraud.

Block is responding by expanding its Cash App’s financial products, including personal loans, buy-now-pay-later options, stock and Bitcoin trading, savings accounts and merchant rewards.

In September, Jack Dorsey’s company filed an application with the US Office of the Comptroller of the Currency, seeking approval to establish Builders Bank & Trust, N.A. The proposed entity would be an uninsured national trust bank providing custody and related fiduciary services for digital assets, including Bitcoin and stablecoins, subject to regulatory approval.