Hindenburg says Block response confirms it inflated Cash App user counts

FILE PHOTO: The logo of Cash App is seen at the main hall during the Bitcoin Conference 2022 in Miami Beach, Florida, U.S. April 6, 2022. REUTERS/Marco Bello

(Reuters) - U.S. short seller Hindenburg Research said on Friday Block Inc's response to its allegations confirmed it had reported inflated user counts on its Cash App to investors for years.

The payments firm led by Twitter co-founder Jack Dorsey said on Thursday that 44 million of its more than 51 million monthly active customers on Cash App were verified through its identity program as of Dec. 31.