Block Inc., the pro-Bitcoin company founded by Jack Dorsey, has announced that it has surpassed $200 billion in loans granted through its Cash App, Afterpay, and Square Loans services. This impressive figure has been made possible by an innovative approach to risk analysis based on behavioral data.
Block facilitates access to credit for millions of users thanks to an innovative assessment mechanism
Block Inc., the company founded by Jack Dorsey, creator of the social network Twitter, also known for its commitment to Bitcoin, recently announced that it has granted more than $200 billion in loans through its various platforms and services such as Cash App Borrow, Afterpay, and Square Loans.
The most surprising thing is not the volume of loans granted, but rather the way in which these loans were distributed. The Block group relies on the behavioral data of its users, rather than the traditional criteria for assessing repayment capacity used by traditional financial institutions.
With nearly 100 million Americans excluded from traditional credit, Block uses internal data from its 58 million active users to create a “Cash App Score,” enabling a more accurate assessment of repayment ability.
As a result, the group has seen a 38% increase in loan approvals, with no increase in losses. Key figures include: 97% of microloans have been repaid on Cash App, 96% of installments have been paid on time through Afterpay, and 97% of loans granted to small businesses via Square Loans have been repaid.
- 97% of Cash App Borrow microloans were repaid;
- 96% of Afterpay installments were paid on time;
- and 97% repayment for Square Loans to small businesses.
To-date Block has provided access to more than $200 billion in credit to customers across its global lending portfolio. Our approach to credit across the ecosystem leverages near real-time behavioral data that more accurately reflects consumers’ actual financial health and…
— Block (@blocks) January 20, 2026
Block thus demonstrates that it is possible to expand access to credit without compromising risk management or the financial security of the institution.
However, this model may seem paradoxical in light of Bitcoin’s philosophy, which favors saving in a strong currency rather than resorting to debt.
Yet it is difficult to imagine the United States doing without credit as long as fiat currency remains the norm and the cost of living continues to rise. In 2025, U.S. households had accumulated $18.5 trillion in debt, or more than $100,000 per household.
2025: The year of the rise of Bitcoin-collateralized credit
While Block relies on behavioral data to grant credit, decentralized finance is exploring another avenue: Bitcoin-backed collateralized loans, also known as “lombard loans.”
In 2025, the market saw a proliferation of solutions for obtaining liquidity in fiat currency or stablecoins without having to sell digital assets, thus avoiding a taxable event. Some traditional banks, such as JP Morgan, now offer Lombard loans by accepting shares of spot Bitcoin ETFs as collateral.
For their part, applications such as Strike have democratized access to credit backed directly by BTC, although this method involves entrusting the custody of funds, as with any exchange platform.
But a new trend is emerging: making these loans in the original spirit of Bitcoin, returning to its primitives of decentralization and peer-to-peer. Platforms such as Lendasat are developing and attracting a growing audience by offering loans collateralized directly on-chain. Their model is based on a multi-signature system, guaranteeing the borrower that their collateral remains locked, and not sold or re-mortgaged, for the entire duration of the loan. This transparent mechanism also reassures lenders, who can monitor the presence and integrity of the collateral in real time, serving as insurance for the repayment of the funds lent and the payment of interest.
