Square missed earnings expectations in the third quarter on a drop in cryptocurrency trading revenue.
Revenue came in at $3.84 billion, up from $3.03 billion in the year ago period, but short of expectations of $4.39 billion. Bitcoin revenue, which is a gross measure of total sale of crypto to customers, was $1.82 billion, compared to expectations of $2.56 billion.
Square said in its investor letter: "Compared to the second quarter of 2021, bitcoin revenue and gross profit decreased on a quarter-over-quarter basis, driven primarily by relative stability in the price of bitcoin, which affected trading activity compared to prior quarters."
Robinhood also saw a drop in crypto trading revenue in its most recent quarter.