<p class="p1"><span class="s1">Cash App owner Block Inc. has agreed to pay $45 million to settle allegations brought by regulators in nearly every U.S. state after prosecutors said the company failed to adequately protect customers from fraud and misled users about the app's security.</span></p>
<p class="p1"><span class="s1">In a <a href="https://ag.ny.gov/press-release/2026/attorney-general-james-secures-45-million-block-enabling-fraud-and-misleading"><span class="s2">statement</span></a> released Wednesday, the New York Attorney General's Office said Jack Dorsey-led Block marketed Cash App as offering protections comparable to those of a traditional bank, leading customers to believe their funds were safeguarded in the same way.
Regulators also alleged the company lacked a consistent fraud detection system and failed to provide a functioning customer hotline for reporting scams.</span></p>
<p class="p3"><span class="s1">"New Yorkers were promised that Cash App was a safe and secure platform to send money, but in reality, the app exposed them to rampant fraud," said Attorney General Letitia James in the statement.
"For years, Cash App users lost money to costly scams because Block cared more about profits than protecting its users."</span></p>
