Jack Dorsey’s payments company Block has agreed in principle to pay about $764 million to settle the Justice Department’s anti-money-laundering investigation.
That sum is larger than its roughly $566 million in third-quarter profit. The agreement defers a criminal charge for three years: that Block failed to properly manage its anti-money-laundering program under the Bank Secrecy Act. The gross amount is about $964 million, reduced to roughly $764 million after credits for previous regulatory settlements; the company says it has already accrued for it.
In the same SEC filing, gross profit from Cash App’s bitcoin business was cut in half to about $52 million, mainly due to lower fees on some transactions; overall gross profit still rose about 22%. The investigation began after a short-seller report in 2023. The SEC closed its investigation in March this year without taking enforcement action—but the Justice Department’s settlement is still being finalized.#Block #BTC
That sum is larger than its roughly $566 million in third-quarter profit. The agreement defers a criminal charge for three years: that Block failed to properly manage its anti-money-laundering program under the Bank Secrecy Act. The gross amount is about $964 million, reduced to roughly $764 million after credits for previous regulatory settlements; the company says it has already accrued for it.
In the same SEC filing, gross profit from Cash App’s bitcoin business was cut in half to about $52 million, mainly due to lower fees on some transactions; overall gross profit still rose about 22%. The investigation began after a short-seller report in 2023. The SEC closed its investigation in March this year without taking enforcement action—but the Justice Department’s settlement is still being finalized.#Block #BTC
