PayPal’s total payment volume increased 10% to $486.4 billion in the second quarter of 2026, according to PayPal’s earnings release, about 6.7 times the volume on Square. Block’s shareholder letter shows Square GPV grew 13% year over year in the second quarter to $72.8 billion, so the smaller network is growing faster. The two companies define volume differently, so the Square vs. PayPal statistics below name each definition as they go.
Block also leads on profit growth, since Block’s gross profit reached $3,166 million in Q2 2026, up 25% year over year. PayPal’s transaction margin dollars increased 1% to $3.9 billion. Every figure comes from the companies’ SEC filings, earnings releases, newsrooms, and price lists. Where a company does not disclose a metric, the text says so.
Key Takeaways
- PayPal handled $486.4 billion of total payment volume in Q2 2026, against $72.8 billion of Square GPV.
- Block’s Form 10-K shows the bitcoin ecosystem contributed 35% of total revenue in 2025, but only 4% of total gross profit at Block, which inflates its revenue line against PayPal’s.
- Per Block’s shareholder letter, gross profit grew +25% year over year in Q2 2026, while PayPal’s GAAP operating income decreased 5% to $1.4 billion.
- According to PayPal’s earnings presentation, the company counted 228 million monthly active accounts in Q2 2026, while Cash App monthly transacting actives held at 59 million.
- Square’s Free plan charges 2.6% + 15¢ for in-person card payments, while PayPal lists 3.49% plus a fixed fee for PayPal Checkout.
- PayPal’s 2025 net income was $5,233 million, up 26%, against $1.3 billion of net income attributable to common stockholders at Block.
Editor’s Choice
- PayPal 2025 total payment volume: $1.79 trillion, an increase of 7%.
- Block 2025 gross payment volume: $259,631 million across Square and Cash App.
- PayPal active accounts: 439 million, up 0.3% in Q2 2026.
- Block 2025 gross profit: $10.4 billion, up 17% year over year.
- PayPal 2025 net revenues: $33,172 million.
- Cash App Bitcoin onboarding: More than 24 million active users since its launch in 2018.
Square vs PayPal Statistics at a Glance
- Block posted $6,618 million of revenue in Q2 2026, and PayPal reported net revenues of $8,682 million for the same quarter.
- Operating income was $447 million, while Adjusted Operating Income reached a record $864 million at Block.
- PayPal’s GAAP operating income was $1,427 million, an operating margin of 16.4%.
- Net income attributable to common stockholders was $89 million for Block, against PayPal’s net income of $1,104 million, down 12%.
- Square GPV counts the total dollar amount of all card and bank payments processed by sellers using Square, net of refunds, while PayPal reports one total payment volume figure for its whole network.
- Margins are all calculated as a percent of gross profit in Block’s reporting, while PayPal states its margin against net revenues.
- Neither company publishes a market share figure in these filings, so none appears here.
| Metric (Q2 2026) | Block (Square and Cash App) | PayPal |
|---|---|---|
| Revenue | $6,618 million | $8,682 million |
| Gross profit or transaction margin dollars | $3,166 million gross profit | $3.9 billion TM$ (non-GAAP) |
| Payment volume | $72,848 million Square GPV | $486,448 million TPV |
| GAAP operating income | $447 million | $1,427 million |
| Net income | $89 million (attributable to common stockholders) | $1,104 million |
| Monthly users | 59 million Cash App monthly transacting actives | 228 million monthly active accounts |
Source: Block Q2 2026 Shareholder Letter, PayPal Q2 2026 Earnings Release and Earnings Presentation
About This Data
Figures are compiled from 13 sources: 6 SEC filings and earnings documents from Block and PayPal, 5 company newsroom releases, and 2 published US price lists. The filings include Block’s Q2 2026 shareholder letter. Sources run from February 2026 (annual reports) to October 2026. Only first-party company disclosures qualify, and figures are updated when either company publishes a new quarter.
Quarterly Revenue: Block vs PayPal
- PayPal’s quarterly revenue moved from $8,288 million in Q2 2025 to $8,682 million in Q2 2026, a 5% gain.
- Block’s revenue climbed from 6,054 in Q2 2025 to 6,618 in Q2 2026, in millions of dollars.
- Block’s revenue fell back from Q4 2025 to Q1 2026 to 6,057, before the Q2 rebound.
- PayPal’s U.S. business supplied $5,048 million of Q2 2026 revenue, 58% of the total.
- PayPal’s gap over Block in Q2 2026 was $2,064 million in quarterly revenue.
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Block’s revenue line includes bitcoin sales, which carry little gross profit, so the gross profit section below is the better earnings guide.
Recent Developments
- October 1, 2026: Block launched “Bitcoin Does,” the company’s first major bitcoin consumer advertising campaign.
- September 1, 2026: Block announced that it will open the Cash App Score to external lenders for the first time, with Nova Credit as a distribution partner.
- August 25, 2026: Neighborhoods added 30,000 more sellers to the network, up nearly 10x from June.
- August 19, 2026: PayPal announced new integrations with three of the nation’s leading education payment platforms, Illumia, Nelnet Campus Commerce, and TouchNet for tuition payments.
- August 11, 2026: US PayPal users can now use the PayPal app to make in-store QR code payments at Weixin Pay merchants across China.
- August 5, 2026: Block discussed its Q2 2026 results on a conference call and earnings webcast; the same letter said it had launched stablecoins on Cash App through a seamless integration with USDC.
Payment Volume: Square GPV vs PayPal TPV
- PayPal’s total payment volume rose from $443,547 million in Q2 2025 to $486,448 million in Q2 2026.
- Venmo alone carried $93,806 million of TPV in Q2 2026, up 14%, which is larger than all of Square GPV.
- Total Square GPV dipped to $61,209 million in Q1 2026 before reaching $72,848 million in Q2 2026, in millions.
- Venmo made up about 19% of PayPal’s Q2 2026 TPV.
- Across a full year, PayPal processed $1.79 trillion of total payment volume in 2025.
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Block’s annual reporting uses a wider measure than the quarterly Square seller volume series. GPV includes Square GPV and Cash App GPV, so the yearly series below sits above the Square-only quarterly figures.
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By the numbers: PayPal processed $1.79 trillion of total payment volume in 2025, while Block’s combined Square and Cash App GPV reached $259,631 million, according to the two companies’ annual reports. Even Venmo, a single PayPal brand, now moves more money each quarter than every Square seller combined.
Gross Profit: Cash App vs Square
- Cash App gross profit reached 1,973 in Q2 2026, up 31%, in millions of dollars.
- Square gross profit was 1,160 in Q2 2026, up 13%, in millions of dollars.
- Cash App supplied about 62% of Block’s Q2 2026 gross profit.
- For the full year, Cash App generated gross profit of $6.3 billion in 2025, up 21% year over year, and Square generated gross profit of $3.9 billion in 2025, up 9%.
- Financial Solutions gross profit grew 43% year over year, driven by Cash App Consumer Lending.
- PayPal’s TM$ excluding interest on customer balances increased 3% to $3.6 billion in the same quarter.
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PayPal’s transaction margin dollars is a non-GAAP measure and a different line from Block’s gross profit, so each figure here carries its own label.
Key finding: Block’s gross profit grew 25% in Q2 2026, according to its shareholder letter, and Cash App lending did much of the work. PayPal’s transaction margin dollars increased 1% to $3.9 billion over the same period. The two measures are defined differently, but Block’s grew far faster.
Annual Revenue and Profit, 2024 to 2025
- Block’s total net revenue was $24.19 billion in 2025 against $24.12 billion in 2024.
- Excluding bitcoin ecosystem revenue, total net revenue increased by $1.9 billion, or 14%, at Block.
- PayPal’s net revenues increased $1.4 billion, or 4%, in 2025 compared to 2024.
- Operating income was $6,065 million, an operating margin of 18%, at PayPal in 2025.
- Block’s operating income was $1.7 billion, and Adjusted Operating Income was $2.1 billion in 2025.
- Block’s Adjusted EBITDA was $3.5 billion, an increase of 14% year over year.
| FY 2025 metric | Block | PayPal |
|---|---|---|
| Total net revenue, 2025 | $24.194 billion | $33,172 million |
| Total net revenue, 2024 | $24.121 billion | $31,797 million |
| Operating income, 2025 | $1.7 billion | $6,065 million |
| Net income, 2025 | $1.3 billion (attributable to common stockholders) | $5,233 million |
Source: Block Form 10-K and PayPal Form 10-K, fiscal 2025
Is PayPal struggling financially?
PayPal’s net income was $5,233 million in 2025, up from $4,147 million in 2024. The 2026 picture is softer: Q2 net income was $1,104 million, down 12%, while cash, cash equivalents, and investments totaled $15.3 billion as of June 30, 2026.
Bitcoin Revenue vs Gross Profit at Block
- Block’s Bitcoin Ecosystem revenue was $1,894 million in Q2 2026 against gross profit of $72 million, both in millions of dollars.
- Bitcoin made up about 29% of Block’s Q2 2026 revenue.
- Bitcoin Ecosystem gross profit declined 31% year over year, driven by a strategic decision to reduce the fee charged on certain bitcoin transactions on Cash App.
- In 2024, the bitcoin ecosystem contributed 43% of the total revenue and 5% of the total gross profit at Block.
- For comparison with other bitcoin treasury companies, Block’s balance sheet carried a bitcoin investment of $533.9 million at June 30, 2026, against $777.5 million at December 31, 2025.
- Square lists in-person bitcoin payments at 0% until 2027 on its US price list.
- On the PayPal side, a third-party issuer launched a U.S. dollar-denominated stablecoin named PayPal USD (“PYUSD”) in August 2023; current PYUSD supply data is tracked separately.
- PayPal said Q2 2026 GAAP EPS includes a ~$0.07 negative impact from its strategic investment portfolio and crypto assets held for investment.
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Why it matters: Bitcoin contributed 35% of the total revenue in 2025 but only 4% of the total gross profit at Block, according to its annual report. Any Square vs PayPal comparison built on revenue alone overstates Block’s earning power, which is why gross profit and transaction margin carry this comparison.
Monthly Users: PayPal MAA vs Cash App Actives
- PayPal defines monthly active accounts as a subset of Active Accounts that have completed a transaction on its platform at least once during the month of measurement.
- PayPal’s active accounts increased 0.3% to 439 million in Q2 2026.
- On a sequential basis, active accounts decreased by 0.04%, or by 0.2 million.
- Cash App counted 9.4 million primary banking actives in Q2 2026, up 17%.
- Inflows per transacting active reached $1,469 in Q2 2026, up 9%.
- PayPal’s monthly base was about 3.9 times Cash App’s in Q2 2026.
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Square sellers are a separate population again; the captured shareholder letters do not show a quarterly seller count, so the user comparison stays on the consumer side.
Cash App vs Venmo: Volume and Engagement
- Commerce Enablement Volume reached $56.5 billion in Q2 2026, up 17% at Cash App.
- Consumer Lending Origination Volume was $18.9 billion in Q2 2026, up 59%.
- Total Cash App Inflows were $87 billion in Q2 2026, up 13%.
- On the PayPal side, Venmo Debit Card MAAs grew >50%; Pay With Venmo MAAs grew ~30% in Q2 2026.
- Venmo TPV grew 14% year over year to $93,806 million in Q2 2026.
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Cash App commerce volume counts card, Pay, buy now pay later, and business payments, while Venmo payment volume adds person-to-person transfers, so the two lines are not like-for-like. Broader Cash App user trends sit outside these quarterly tables.
PayPal Take Rate and Square Monetization
- PayPal’s total take rate slipped from 1.87% in Q1 2025 to 1.78% in Q2 2026.
- Its transaction take rate moved from 1.68% to 1.61% over the same six quarters.
- Square’s Commerce Enablement (excluding Hardware) Monetization Rate was 1.23% in Q2 2026, with a Financial Solutions Monetization Rate of 0.41%.
- Cash App’s Commerce Enablement Monetization Rate rose from 1.53% in Q2 2025 to 1.65% in Q2 2026.
- The PayPal take rate fell 9 basis points across the six quarters shown.
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PayPal’s take rate and Block’s monetization rates are separately defined company metrics, so the Square and Cash App rates are not read against PayPal’s own take rate history here.
Merchant Fees: Square vs PayPal
- Square’s US price list sets in-person card payments at 2.6% + 15¢, 2.5% + 15¢ and 2.4% + 15¢ across its three plans.
- Online card payments cost 3.3% + 30¢ on the entry plan and 2.9% + 30¢ on the two paid plans.
- Manual entry or card on file costs 3.5% + 15¢ on every Square plan.
- PayPal’s fixed fee for US dollar commercial transactions is $0.49.
- For buy now, pay later checkouts, Square charges 6% + 30¢ for Afterpay, and PayPal lists 4.99% plus a fixed fee for PayPal Pay Later options.
| US payment type | Square (Free plan) | PayPal |
|---|---|---|
| In-person payment | 2.6% + 15¢ (card present) | 2.29% + fixed fee (QR code) |
| Online card payment | 3.3% + 30¢ | 2.99% + fixed fee |
| Branded wallet checkout | Not applicable | 3.49% + fixed fee (PayPal Checkout) |
| Buy now, pay later | 6% + 30¢ (Afterpay) | 4.99% + fixed fee (Pay Later) |
Source: Square Pricing, PayPal Merchant Fees, October 2026
How much does Square cost?
Square’s entry plan costs $0/mo. per location, compared with $49/mo. and $149/mo. per location for the two paid tiers. Processing is charged on top, starting at 2.6% + 15¢ for in-person card payments on the free plan, with lower rates on the paid plans.
US vs International Revenue and Volume Mix
- Square U.S. GPV made up 78% of Total Square GPV in Q2 2026, down from 81% in Q2 2025.
- PayPal earned 58% of its Q2 2026 net revenues in the U.S. and 42% internationally.
- PayPal’s U.S. TPV grew 14% in Q2 2026, while International TPV grew 2%.
| Q2 2026 measure | Square | PayPal |
|---|---|---|
| US share | 78% of Square GPV | 58% of net revenues |
| International share | 22% of Square GPV | 42% of net revenues |
| US volume growth | 9.8% (US GPV) | 14% (US TPV) |
| International volume growth | 28% (International GPV) | 2% (International TPV) |
Source: Block Q2 2026 Shareholder Letter, PayPal Q2 2026 Earnings Release and Earnings Presentation
Worth noting: Square’s International GPV grew 28% in Q2 2026, per Block’s shareholder letter, while PayPal’s International TPV grew 2%. The two companies are expanding abroad at very different speeds, though Square starts from a much smaller international base.
Employees, Cash and Capital Returns
- Block had 10,205 full-time employees worldwide with 2,472 full-time employees outside the US at the end of 2025.
- PayPal employed approximately 23,800 people globally, with 46% in the Americas, 42% in Asia-Pacific, and 12% in Europe and the Middle East.
- PayPal’s total employee count was about 2.3 times Block’s full-time employee count.
- Block announced a workforce reduction restructuring plan in February 2026.
- PayPal returned $1.5 billion to stockholders by repurchasing approximately 33 million shares of common stock in Q2 2026, and its debt totaled $13.4 billion as of June 30, 2026.
| Measure | Block | PayPal |
|---|---|---|
| Employees, December 31, 2025 | 10,205 full-time | approximately 23,800 (all employees) |
| Employees by location | 2,472 full-time outside the US | approximately 9,600 in the US |
| Cash, June 30, 2026 | $6.427 billion (cash and cash equivalents) | $15.3 billion (cash, cash equivalents and investments) |
Source: Block Form 10-K and Form 10-Q, PayPal Form 10-K and Q2 2026 Earnings Release
2026 Guidance and Outlook
- Block said it now expects $12.51 billion in gross profit, up 21% year over year, and Adjusted Operating Income of $3.47 billion, or 28% margin, for 2026.
- Block also expects Adjusted Diluted EPS to grow 70% to $4.02.
- Block has not provided the forward-looking GAAP equivalents for certain forward-looking non-GAAP metrics, including Adjusted Operating Income (Loss) and Adjusted Diluted EPS.
- PayPal said it is raising full-year non-GAAP TM$ and EPS guidance and reaffirming GAAP EPS guidance.
- PayPal’s presentation noted that Braintree TPV continued accelerating in the mid-teens.
| 2026 guidance | Block | PayPal |
|---|---|---|
| Full-year profit measure | $12.51 billion gross profit, up 21% | Non-GAAP TM$ guidance raised |
| Full-year adjusted EPS | $4.02 Adjusted Diluted EPS, up 70% | Non-GAAP EPS guidance raised |
| Full-year GAAP EPS | Not provided (GAAP equivalents withheld) | Mid-single-digit decline, against $5.41 |
Source: Block Q2 2026 Shareholder Letter, PayPal Q2 2026 Earnings Release
Is it better to use Square or PayPal?
The cheaper option depends on the payment type and size once fixed fees are counted. Square charges 2.6% + 15¢ for in-person card payments on its free plan, while PayPal lists 2.99% plus a fixed fee for Standard Credit and Debit Card Payments; against Square’s online card rate is 3.3% + 30¢, and PayPal’s fixed fee for US dollar commercial transactions is $0.49.
On Square’s free plan, with the fixed fees included, Square’s lower fixed charge favors smaller online payments and PayPal’s lower percentage favors larger ones, so the cheaper option depends on each merchant’s payment mix.
Is PayPal losing customers?
Not on the reported totals. PayPal’s active accounts increased 0.3% to 439 million in Q2 2026, though on a sequential basis, active accounts decreased by 0.04%. Monthly active accounts were 228 million in Q2 2026, against 226 million in Q2 2025.
Conclusion
PayPal still moves far more money, with $486.4 billion of total payment volume in the latest quarter against $72.8 billion of Square GPV. The profit trend favors Block, whose Cash App lending and Square volume are growing faster than PayPal’s transaction margin, while its revenue line needs the bitcoin adjustment before any like-for-like reading.
The third-quarter reports will test the guidance both companies raised. Readers tracking the wider field can set these figures beside the PayPal vs Stripe comparison.
