Cash App fined $45.00 million for deceptive security promises, Block agrees to settlement

PANewsJul 9, 2026
#Crypto Stocks XYZ-1.30%
Block, the parent company of Cash App, has agreed to pay $45.0 million to settle allegations from nearly all state regulators in the U.S. that it made false promises about its security.

New York Attorney General's office stated that Block promoted Cash App as offering protection comparable to traditional banks, leading users to mistakenly believe their funds were equally secured, while lacking a consistent fraud detection system and failing to provide an effective customer reporting hotline.

States accused Block of knowing about rising fraud but failing to warn users, instead increasing marketing efforts and targeting the unbanked population.

Regulators also criticized Block for encouraging users to post account identifiers during "Cash App Friday" promotions, which led scammers to contact users and trick them into revealing login information.

[PANews]

Source
Powered by ChatGPT
All You Need to Know in 10s
Your One-Stop Crypto Investment Powerhouse

Cash App fined $45.00 million for deceptive security promises, Block agrees to settlement

PANewsJul 9, 2026
#Crypto Stocks XYZ-1.30%
Block, the parent company of Cash App, has agreed to pay $45.0 million to settle allegations from nearly all state regulators in the U.S. that it made false promises about its security.

New York Attorney General's office stated that Block promoted Cash App as offering protection comparable to traditional banks, leading users to mistakenly believe their funds were equally secured, while lacking a consistent fraud detection system and failing to provide an effective customer reporting hotline.

States accused Block of knowing about rising fraud but failing to warn users, instead increasing marketing efforts and targeting the unbanked population.

Regulators also criticized Block for encouraging users to post account identifiers during "Cash App Friday" promotions, which led scammers to contact users and trick them into revealing login information.

[PANews]

Powered by ChatGPT
Scan QR Code to Explore more key information
One-stop financial research platform for Crypto Investors