Cash App

Cash App is a financial services application available for iOS and Android operating systems. The product was initially developed as a peer-to-peer payments system but has since developed into an ecosystem that allows users to send, spend, invest, and borrow money, including cryptocurrency. Cash App is a financial platform that provides financial services through its banking partners, including Lincoln Savings Bank and Sutton Bank. For investments, the Cash App offers services through Cash App Investing LLC, a registered broker-dealer and Financial Industry Regulatory Authority (FINRA) member.

Cash App was founded by Block (formerly known as Square) in 2013 to compete with similar services launched around the same time, including Venmo, Paypal, Apple Pay, and Google Pay. These services allow users to make peer-to-peer payments and use their smartphones to pay for goods and services, pay bills, and transfer money to friends and family. Cash App and its peers have increased in popularity as they offer users convenience when compared to other payment methods, especially when sending money to friends or using their mobile phones for payments.

The download and "basic" features of Cash App—such as peer-to-peer payments and transferring funds to and from a bank account—are free through the app. Otherwise, Cash App makes money through transaction fees, charged to both businesses and users depending on the transaction type. And other financial services-related products offered by Cash App, such as the Cash App Card, are offered as subscription services. Cash App's largest revenue generation segment, however, is its Bitcoin segment, where users can buy and sell Bitcoin and for which Cash App charges a fee to facilitate the exchange.

To use the Cash App, users must download the mobile app for their smartphone device and sign up for an online account. Depending on the services a user intends to use, further sign-ups and account linking are required. The services offered through the application include the following:

After setting up a Cash App account and linking it to an existing bank account, users can send and receive money through the application. Users can both send money or can request a specific amount to be transferred to the users account. Each user of the Cash App creates a unique username, called a $Cashtag, which can then be used to find individuals or businesses by searching for their $Cashtag and requesting or sending funds to that username. Users can also be searched for by name, phone number, and email address. Any money sent has to be in the Cash App account, and any money received is automatically added to a Cash App balance, where it can be kept or transferred to a linked bank account. An instant transfer includes a transfer fee, but there is a no-fee standard transfer, which typically takes one to three business days to complete.

Cash App offers users some savings features through the app, which can help users reach savings goals. These features offer no fees or minimum balance requirements. They allow users to create specific savings goals, which can be contributed to from their Cash App balance or a linked payment source, such as a debit card or bank account. The savings account does not earn interest but does allow users to set and track savings goals and progress towards them. To help with that, users can also set a "Round Ups for Savings" feature, which allows users with a Cash Card to round up transactions to the nearest dollar and transfer the spare change to a Cash App savings balance.

Cash App users can receive a Cash Card, which is a debit card tied to their Cash App account. The Cash Card, like most debit cards, can be used to make purchases in person or online and can be added to digital wallets like Apple Pay or Google Pay. Users can withdraw funds at ATMs using the Cash Card for a $2.50 fee per transaction (aside from the fee the ATM may charge). The fee can be waived (or reimbursed) for users who receive direct deposits of at least $300 each month. Users can also receive discounts in person or online when using the Cash Card and can receive access to concert presales, special events, and more.

Cash App users can also buy and sell the Bitcoin cryptocurrency through the app. Users are charged a fee before a transaction is completed, but also uses the Lightning Network to allow users to send Bitcoin without any fees. Users can also use the Cash App to set up a portion of a paycheck (deposited directly into a Cash App account), which can be used to purchase Bitcoin. Cash App keeps users' Bitcoin safe using a cold storage solution.

Through the Cash App, users are also able to buy and sell stocks. Facilitated through Cash App Investing LLC, users are able to purchase smaller pieces of stock in companies, even if they do not have the amount to cover the total stock at first, and are not charged a commission fee on buying and selling. Through the app, users can also send stocks as a gift, set up auto-orders and alerts on specific stocks, and receive access to analyst opinions and earnings.

Also offered to users of the Cash App is Cash App Taxes. Through the service, users can file their federal and state taxes for free without hidden fees or upsells, and includes a free audit defense with every return. The taxes can be filed either from the user's phone or on a computer by following the step-by-step instructions intended to make filing taxes easier.