Cash App, owned by Block, unveiled Pools on Tuesday, a new peer-to-peer (P2P) payments feature designed to make group payments easier and more accessible. This is the company’s first major P2P product launch in nearly two years.
Pools allows users to create and manage a shared balance for group expenses, like splitting bills or collecting funds for trips. Contributions can be made not only through Cash App but also via Apple Pay and Google Pay, allowing participation from people outside the app. By sharing a Pool link, organizers can collect money even from friends who don’t use Cash App.
Competing with Venmo in the P2P Market
Cash App is working to regain momentum against Venmo, which recently reported strong growth. Venmo’s revenue rose more than 20% year over year in the second quarter, driven by increased use of debit cards, instant transfers, and online checkout options.
Following disappointing first-quarter results, Cash App aims to focus on peer-to-peer features that originally made it popular. Owen Jennings, Block’s head of business, emphasized that money is social by nature and sees Pools as a way to grow the user base. The feature was developed rapidly, helped by AI tools like Block’s open-source assistant, Goose.
CEO Focuses on Peer-to-Peer as Core Growth Driver
CEO Jack Dorsey highlighted that while banking and lending services are important, peer-to-peer engagement remains the foundation for Cash App’s success. Pools is intended to drive organic user growth rather than immediate revenue and includes built-in progress tracking and integration with Cash App’s banking tools.
Pools is currently in limited release with a broader rollout planned. Jennings described this as the start of a new chapter aimed at making money “more multiplayer.”
What The Author Thinks
Cash App’s new Pools feature is a smart attempt to revive its social payment roots by making group transactions easy and inclusive. Opening payments to Apple Pay and Google Pay users is a key growth lever. However, competing with Venmo’s entrenched position will be challenging. The rapid rollout and AI-powered development show promise, but user adoption and network effects will be critical for Pools to become a real growth engine.
Featured image credit: Freepik
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