Block Introduces Bitcoin Proof-of-Reserves to Improve Transparency

Block, the payments company behind Cash App and Square, has introduced on-chain proof-of-reserves for its corporate Bitcoin treasury, alongside new features for its products. The move places Block in the vanguard of crypto firms increasing transparency by allowing independent verification of holdings, rather than relying on trust alone.

At a Las Vegas event, Block announced that anyone can independently verify Block’s Bitcoin holdings through on-chain signatures, and that reserves are actively controlled rather than merely historically observed. The company noted a balance of 8,883 BTC, valued at about $681.4 million, which it describes as the 14th-largest corporate Bitcoin holding.

Key takeaways

• Block adds on-chain proof-of-reserves for its corporate Bitcoin treasury and for Cash App and Square, enabling public verification of holdings.
• 8,883 BTC are disclosed as Block’s reserves, valued around $681.4 million, marking Block as the 14th-largest corporate Bitcoin holder.
• PoR is presented as actively controlled and verifiable, not just a historical record, according to Block’s announcement on X.
• Adoption of proof-of-reserves has grown since the FTX collapse, with major platforms like Binance, Kraken, OKX, Bitfinex and Bitget among those embracing disclosures.
• Despite the broader push, some industry figures — notably Strategy’s Michael Saylor — have questioned PoR, citing security and information-exposure concerns.
• Block expanded its crypto toolkit with a touchscreen Bitkey hardware wallet, Cash App enhancements to auto-convert payments to Bitcoin, 5% Bitcoin back at Square merchants, and higher withdrawal limits.

Block’s PoR expansion and what it covers

Block’s new proof-of-reserves offering targets not only its corporate treasury but also the company’s consumer-facing payments rails. The disclosure covers 8,883 BTC on its books, which Block says helps validate the firm’s Bitcoin holdings in a verifiable, on-chain manner. By presenting these reserves alongside its public statements, Block aims to give users and investors a clearer picture of where its Bitcoin assets sit and how they’re controlled.

The company framed the PoR rollout as part of a broader push toward greater accountability in the crypto industry, particularly in the wake of past industry-wide upheavals. By tying the verification to on-chain signatures, Block argues that the reserves are actively managed and auditable, rather than simply reported after the fact.

Verification as a standard, with notable industry context

The PoR trend gained significant momentum after the 2022 FTX collapse, when customers and counterparties increasingly pressed for transparent, independently verifiable asset backing. Since then, several large crypto exchanges and institutions have published proof-of-reserves disclosures as part of a broader transparency push. Block’s adoption adds to a growing list that includes major venues such as Binance, Kraken, OKX, Bitfinex and Bitget.

That broader market debate remains nuanced. In May 2025, Michael Saylor, executive chairman of Strategy, the universe’s largest corporate Bitcoin holder, publicly warned that proof-of-reserves can pose security risks. He argued that exposing certain information about reserves and custodial relationships could undermine security for issuers, custodians, exchanges and investors. His stance illustrates the tensions between transparency and operational security that continue to shape PoR discussions.

New tools, incentives, and what Block is launching next

Alongside PoR, Block announced a slate of product updates aimed at integrating Bitcoin more deeply into its ecosystem. The company introduced a touchscreen Bitkey hardware wallet, designed to verify transactions at the point of interaction. It also rolled out a feature on Cash App that allows a subset of users to automatically convert payments into Bitcoin, broadening the pathway for everyday spending to become Bitcoin exposure.

Block is also expanding incentives for merchants using Square, offering 5% Bitcoin cashback on purchases at Square-enabled merchants. In addition, customer withdrawal limits have been increased fivefold, rising to $10,000 per day and $25,000 per week, easing access for users who hold Bitcoin through Block’s platforms.

Why this matters for investors, users, and builders

For investors and users, Block’s PoR push is a signal that the firm aims to align its disclosures with a growing demand for verifiable, auditable crypto holdings. In a market where opacity and custody risk have historically been points of contention, on-chain verification can reduce information asymmetry and potentially lower counterparty risk perceptions for Block’s Bitcoin assets tied to its treasury and product ecosystem.

For builders and other corporates, Block’s approach offers a playbook for integrating PoR into consumer products without sacrificing security. The combination of active on-chain verification and expanded Bitcoin-enabled features—such as automatic conversion in Cash App and merchant incentives—illustrates a practical path to broad Bitcoin adoption in payments and corporate treasury management.

As the industry weighs the benefits and trade-offs of PoR, readers should watch how more corporates adopt verifiable disclosures, how custodial arrangements evolve to balance transparency with security, and whether regulatory scrutiny shapes future PoR standards.

Looking ahead, the question is whether Block’s expanded PoR rollout will spur further adoption among other corporates and what changes may emerge in the governance of on-chain verifications. Keep an eye on whether more products integrate native Bitcoin mechanics and whether policy developments around disclosure standards influence how PoR is implemented across the sector.