Block Inc
Company History
Block History: Founding, Growth & Key Milestones
Founded 2009 in San Francisco, California
When was Block founded?
Block was founded in 2009 in San Francisco, California by Jack Dorsey and Jim McKelvey, making it 17 years old.
- Founded
- 2009
- Founding place
- San Francisco, California
- Founders
- Jack Dorsey and Jim McKelvey
- Headquarters today
- Oakland, California
- Milestones documented
- 18 (2009–2026)
- Current CEO
- Jack Dorsey
- Acquisitions
- 6
| Year | Event |
|---|---|
| 2009 | Square founded in St. Louis |
| 2010 | Square reader and app go public |
| 2011 | Visa invests in Square |
| 2012 | Starbucks deal |
| 2013 | Square Cash launches |
| 2014 | Square Capital and Caviar |
| 2015 | IPO on the New York Stock Exchange |
| 2018 | Cash App adds bitcoin; Square buys Weebly |
| 2020 | Bitcoin treasury, Verse and Credit Karma Tax |
| 2021 | TIDAL purchase and Square's own bank opens |
| 2021 | Afterpay deal announced |
| 2021 | Square becomes Block |
| 2022 | Afterpay acquisition closes |
| 2023 | Hindenburg report, Square leadership change and Bitkey |
| 2024 | Proto mining chip and portfolio cuts |
| 2025 | Cash App settlements and the XYZ ticker |
| 2025 | Block joins the S&P 500 |
| 2026 | Workforce cut to under 6,000 |
- Where was Block founded?
- Block was founded in San Francisco, California in 2009.
- Who founded Block?
- Block was founded by Jack Dorsey and Jim McKelvey.
- When did Block start?
- Block was founded in 2009.
- How old is Block?
- Block is 17 years old as of 2026.
Founding Story
In 2009 Jim McKelvey, a St. Louis glass artist, lost a $2,000 sale because he could not accept the buyer's American Express card. He mentioned it to Jack Dorsey, who had once worked for him and had recently been pushed out as Twitter's chief executive. With engineer Tristan O'Tierney they built a reader that turned a card swipe into an audio signal a phone could read through its headphone jack, and launched Square with published flat pricing and sign-up in minutes instead of a bank merchant account, credit checks and terminal rental.
Founders
Jack Dorsey
Dorsey co-founded Square in 2009 with Jim McKelvey after McKelvey lost a glass sale he could not take by card, and has run the company ever since: through the 2015 IPO, the rise of Cash App, the December 2021 rename to Block, the Afterpay purchase and, in February 2026, a cut from more than 10,000 employees to just under 6,000 that he tied to AI. His title is Block Head and Chairman. Between 2015 and 2021 he was also Twitter's chief executive, an arrangement investors repeatedly questioned until he left Twitter to focus on Block. Education: Bishop DuBourg High School. Jack Dorsey was born in 1976.
Jim McKelvey
McKelvey's lost $2,000 glass sale is Square's origin story. He worked with Dorsey and engineer Tristan O'Tierney on the first reader and the flat-pricing business model, and later wrote 'The Innovation Stack' (2020), which explains how Square survived copycats including Amazon's short-lived card reader. He remains a Block director: shareholders voted on his re-election as a Class II director at the June 16, 2026 annual meeting, for a term running to 2029. Education: Ladue Horton Watkins High School. Jim McKelvey was born in 1965.
Key Milestones
Square founded in St. Louis
Jack Dorsey and Jim McKelvey start Square in February 2009 after McKelvey loses a $2,000 glass sale because he cannot take an American Express card. With engineer Tristan O'Tierney they build a reader that plugs into a phone's headphone jack.
Source: en.wikipedia.orgSquare reader and app go public
Square releases its free card reader and app, letting individuals and small sellers take card payments on a smartphone at one published rate instead of signing a bank merchant contract.
Source: en.wikipedia.orgVisa invests in Square
Visa makes a strategic investment in Square in April 2011, a sign the card networks saw the startup as widening card acceptance rather than threatening it.
Source: en.wikipedia.orgStarbucks deal
Starbucks invests $25 million and Square starts processing card payments at about 7,000 U.S. Starbucks stores, with Dorsey joining the Starbucks board. The pricing leaves Square losing money on the volume, and its 2015 IPO filing discloses that the arrangement is ending.
Source: en.wikipedia.orgSquare Cash launches
Square launches Square Cash in October 2013, letting people send money to each other by email. It later becomes Cash App.
Source: en.wikipedia.orgSquare Capital and Caviar
Square starts lending to its own sellers through Square Capital in May 2014, with repayments taken as a share of daily card sales, and buys food delivery service Caviar.
Source: en.wikipedia.orgIPO on the New York Stock Exchange
Square lists on the NYSE as SQ on November 19, 2015 at $9 a share, a valuation of about $2.9 billion, raising about $243 million.
Source: en.wikipedia.orgCash App adds bitcoin; Square buys Weebly
Cash App, which added the Cash Card debit card in 2017, lets users buy bitcoin from 2018, and Square buys website builder Weebly for $365 million. Commission-free stock investing follows in 2019.
Source: en.wikipedia.orgBitcoin treasury, Verse and Credit Karma Tax
The FDIC approves deposit insurance for Square Financial Services in March 2020. Square buys Spanish payments app Verse in June, puts $50 million into 4,709 bitcoin in October, and agrees in November to buy Credit Karma Tax for $50 million.
Source: en.wikipedia.orgTIDAL purchase and Square's own bank opens
Square Financial Services opens on March 1, 2021, and Square agrees the same month to buy a majority of the TIDAL music service for $297 million in cash and stock, with Jay-Z joining its board.
Source: en.wikipedia.orgAfterpay deal announced
Square agrees in August 2021 to buy Afterpay, the Australian buy now, pay later company, in an all-stock deal valued at about $29 billion.
Source: en.wikipedia.orgSquare becomes Block
On December 10, 2021, Square, Inc. renames itself Block, Inc., shortly after Dorsey steps down as Twitter's chief executive. Square remains the name of the seller business.
Source: en.wikipedia.orgAfterpay acquisition closes
Block completes the Afterpay purchase on January 31, 2022. Because it paid in its own shares, which had roughly halved since the announcement, the deal was worth much less at closing than the headline $29 billion.
Source: en.wikipedia.orgHindenburg report, Square leadership change and Bitkey
Short seller Hindenburg Research accuses Cash App in March 2023 of inflated user metrics and weak compliance, which Block rejects. In October Square head Alyssa Henry leaves and Dorsey takes on the 'Square Head' role, and in December Block launches the Bitkey bitcoin wallet in more than 95 countries.
Source: en.wikipedia.orgProto mining chip and portfolio cuts
Block says in April 2024 it has designed a 3-nanometer bitcoin mining chip, agrees in July to supply Core Scientific, and in November winds down its TBD crypto unit and scales back TIDAL.
Source: en.wikipedia.orgCash App settlements and the XYZ ticker
In January 2025 the CFPB orders Block to pay up to $120 million in Cash App redress plus a $55 million penalty, state regulators impose an $80 million anti-money-laundering penalty, and the ticker changes from SQ to XYZ. New York's Department of Financial Services adds a $40 million penalty in April.
Source: consumerfinance.govBlock joins the S&P 500
Block enters the S&P 500 on July 23, 2025, replacing Hess, and at its November investor day sets 2028 targets of about $15.8 billion of gross profit and $4.6 billion of adjusted operating income.
Source: businesswire.comWorkforce cut to under 6,000
On February 26, 2026, Dorsey announces Block will shrink from more than 10,000 employees to just under 6,000, citing AI, and the shares jump about 24%. In August Block reports a record 27% adjusted operating margin and raises its 2026 gross profit outlook to $12.51 billion.
Source: cnbc.comMajor Acquisitions
Afterpay
2022To add buy now, pay later to both sides of the network: Afterpay at Square sellers' checkouts and inside Cash App, plus Afterpay's merchant base in Australia, the U.S. and the UK (as Clearpay). Announced in August 2021 at about $29 billion in stock, roughly a 30% premium.
TIDAL (majority stake)
2021To build tools for musicians to get paid and sell to fans, with Jay-Z and other artist owners keeping stakes and Jay-Z joining Block's board.
Credit Karma Tax (now Cash App Taxes)
2020Intuit had to sell Credit Karma's tax business to win antitrust clearance for its Credit Karma purchase; Square bought it for $50 million in cash.
Verse
2020Barcelona-based peer-to-peer payments app, bought in June 2020 on undisclosed terms to give Cash App a foothold in Europe.
Weebly
2018Website and online store builder with more than 625,000 paid subscribers, bought in cash and stock so Square sellers could sell online from the same inventory.
Caviar
2014Restaurant delivery service, bought to give Square restaurant sellers a delivery channel.
Keep researching Block
Block Company History FAQ
When was Square founded?
In February 2009, by Jack Dorsey and Jim McKelvey in St. Louis, after McKelvey lost a $2,000 glass sale he could not take by card. The reader and app went public in 2010.
When did Square go public?
On November 19, 2015, on the New York Stock Exchange as SQ, at $9 a share. That valued it at about $2.9 billion and raised about $243 million.
When did Cash App launch?
As Square Cash in October 2013, a way to send money by email. It added the Cash Card in 2017, bitcoin in 2018 and stock investing in 2019.
When did Square become Block?
On December 10, 2021, shortly after Dorsey stepped down as Twitter's chief executive. Square remains the name of the seller business.
What happened to Block in 2025?
It paid $295 million in Cash App redress and penalties to the CFPB, state regulators and New York's DFS, changed its ticker from SQ to XYZ, joined the S&P 500 on July 23 and set 2028 targets at a November investor day.
Why did Block lay off nearly half its staff in 2026?
Dorsey said on February 26, 2026 that AI tools let a smaller company do the same work, and cut from more than 10,000 employees to just under 6,000. The shares rose about 24% after the announcement.
Why did Square change its name to Block?
Founded in 2009 as Square, the company rebranded to "Block" in 2021 to heavily signal Jack Dorsey's massive strategic pivot toward blockchain technologies, Bitcoin, and the broader decentralized web.
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