--- title: "Is Block Stock Halal?" canonical: https://www.halalwallet.ca/is-it-halal/block-stock publisher: HalalWallet license: CC BY 4.0 verdict: not_halal verdict_label: Not Halal entity_type: stock ticker: XYZ exchange: NYSE last_reviewed: 2026-06-14 data_as_of: 2026-03-31 standards_disagree: true --- # Is Block Stock Halal? **Verdict: Not Halal** (Not permissible) Block, Inc. (XYZ) does not pass Shariah screening: cash + interest-bearing securities / market cap is 32.5% against the < 30% limit (data as of 2026-03-31). It is not held by Shariah-screened ETFs SPUS or HLAL. Screened alternatives exist in the same sector — see the halal stock screeners and ETF guides below. > HalalWallet is not a Shariah authority and does not issue religious rulings. We compile the most complete public record of what Shariah scholars, screening authorities, and mainstream standards say — reproduced from primary sources with dates and citations — and let you decide. ## How we read the evidence Block is a hybrid: part payment processor, part consumer lender, part bitcoin brokerage. Of its $24.19 billion of 2025 revenue, the largest clean component is commerce enablement ($11.51 billion), the fees Square and Cash App earn for processing payments. The complications come from the other two categories. Financial solutions revenue ($4.18 billion) is built substantially on credit products: Square Loans for merchants, Cash App Borrow for consumers, and Afterpay's buy-now-pay-later business, and Block's segment disclosures show $230.6 million of interest revenue plus $1.34 billion of transaction, loan, and consumer receivable losses in 2025, which tells you lending is now a core engine of the business, not a sideline. The bitcoin ecosystem line ($8.50 billion, about 35% of revenue) needs careful reading. Block recognizes the entire amount a customer pays for bitcoin as revenue and the bitcoin's cost as cost of revenue, so this is mostly pass-through volume with thin margins rather than a third of the company's economics. Whether facilitating bitcoin trading is halal is itself a question on which scholars differ, separate from the riba issues in the lending products. Neither SPUS (June 11, 2026 holdings) nor HLAL (February 28, 2026 SEC-filed holdings) holds Block. For a Muslim investor, the combination of growing interest-bearing credit products and a large crypto brokerage operation makes this a name where screen outcomes depend heavily on methodology and on which period's mix is measured; check a live screener for the current verdict rather than assuming the payment-processing core settles the question. ## Business activity screen Result: Pass Block, Inc. operates two ecosystems, Square (merchant commerce and payments) and Cash App (consumer finance), and reports revenue in three categories per its 2025 10-K: commerce enablement ($11.51B), financial solutions ($4.18B), and bitcoin ecosystem ($8.50B), totaling $24.19 billion for 2025. Total gross profit was $10.36 billion, with Cash App contributing $6.34 billion and Square $3.94 billion. Several lines raise Shariah questions. Financial solutions revenue ($4.18B, about 17% of revenue) includes lending-driven products: Square Loans (merchant loans), Cash App Borrow (consumer loans), and Afterpay BNPL; the 10-K segment note also discloses $230.6 million of interest revenue within segment results for 2025, and the income statement includes $1.34 billion of transaction, loan, and consumer receivable losses. Bitcoin ecosystem revenue ($8.50B, about 35% of revenue) is recognized on a gross basis when customers buy bitcoin through Cash App, with the cost of the bitcoin recorded as cost of revenue, so it is high-revenue but thin-margin pass-through; crypto permissibility itself is a separate scholarly debate. Commerce enablement (payment processing fees) is the conventional fee-based core. ## Financial ratio screen (AAOIFI) Data as of: 2026-03-31 | Screen | Value | Limit | Result | |---|---|---|---| | Interest-bearing debt / market cap | 19.2% | < 30% | Pass | | Cash + interest-bearing securities / market cap | 32.5% | < 30% | Fail | | Impermissible income / total revenue | — | < 5% | Under verification | Screening basis: AAOIFI Shariah Standard No. 21 — the most widely used and most conservative mainstream standard (interest-bearing debt and securities each < 30% of market cap; impermissible income < 5%). Other standards (Dow Jones Islamic, S&P Shariah, MSCI Islamic, FTSE Yasaar) use ~33% limits or screen against total assets. Full methodology: https://www.halalwallet.ca/halal-stock-screening-methodology ## How it screens across Shariah standards These standards disagree on this company — it passes some and fails others, which is why different apps can show different answers. The headline label follows AAOIFI (the strictest mainstream standard). | Standard | Debt | Cash & interest securities | Limit / basis | Result | |---|---|---|---|---| | AAOIFI (our standard) | 19.2% | 32.5% | < 30% of market cap | Fail | | Dow Jones Islamic / S&P Shariah threshold | 19.2% | 32.5% | < 33% of market cap | Pass | | MSCI Islamic / FTSE Yasaar basis | 19.6% | 33.2% | < 33.33% of total assets | Pass | HalalWallet computation reproducing each standard's threshold and denominator from public filings (balance sheet as of 2026-03-31) — not the providers' licensed index determinations, which can differ. Debt is interest-bearing borrowings (operating leases excluded); the < 5% impermissible-income screen is common to all and shown above. Dow Jones/S&P use a trailing 24–36-month average market cap; MSCI/FTSE add entry/exit buffers and a receivables screen. ## Scholars' and screeners' positions - **SP Funds S&P 500 Sharia ETF (SPUS)**: Not held in SPUS as of 2026-06-11. Absence can reflect screen failure or index scope — verify before citing as a screen outcome. ([source](https://www.sp-funds.com/spus/)) - **Wahed FTSE USA Shariah ETF (HLAL)**: Not held in HLAL as of 2026-06-11. Absence can reflect screen failure or index scope — verify before citing as a screen outcome. ([source](https://www.sec.gov/Archives/edgar/data/1683471/000089418926012509/wahedshariah.htm)) ## Sources - XYZ latest quarterly filing (balance sheet 2026-03-31) (https://www.sec.gov/cgi-bin/browse-edgar?action=getcompany&company=Block%2C%20Inc.&type=10-Q) - AAOIFI Shariah Standards (https://aaoifi.com) - Block 2025 10-K segment and revenue disclosure (SEC EDGAR XBRL) (https://www.sec.gov/Archives/edgar/data/1512673/000162828026012254/R54.htm) - Block Q4/FY2025 shareholder letter (SEC EDGAR, 8-K exhibit) (https://www.sec.gov/Archives/edgar/data/1512673/000119312526076557/d108590dex991.htm) - SPUS holdings (SP Funds) (https://www.sp-funds.com/spus/) - HLAL Schedule of Investments 2026-02-28 (SEC EDGAR) (https://www.sec.gov/Archives/edgar/data/1683471/000089418926012509/wahedshariah.htm) ## Frequently asked questions ### Is Block, Inc. (XYZ) stock halal? No. Block, Inc. fails Shariah screening — see the screen table and analysis on this page for the specific business-activity or ratio reasons. ### Does Block, Inc. pass the AAOIFI financial ratio screen? As of 2026-03-31: interest-bearing debt is 19.2% of market cap (limit < 30%); cash plus interest-bearing securities is 32.5% (limit < 30%). The impermissible-income line is verified against the annual filing where noted on this page. ### Is Block, Inc. held in halal ETFs like SPUS or HLAL? No — as of our last check, Block, Inc. is not held by SPUS or HLAL. Absence can reflect a failed screen or index scope — verify current holdings before citing. ## Related verdicts - [Is Palantir Technologies Stock Halal?](https://www.halalwallet.ca/is-it-halal/palantir-technologies-stock.md) — Not Halal - [Is Super Micro Computer Stock Halal?](https://www.halalwallet.ca/is-it-halal/super-micro-computer-stock.md) — Not Halal - [Is Airbnb Stock Halal?](https://www.halalwallet.ca/is-it-halal/airbnb-stock.md) — Not Halal - [Is APA Stock Halal?](https://www.halalwallet.ca/is-it-halal/apa-stock.md) — Not Halal - [Is Bunge Global Stock Halal?](https://www.halalwallet.ca/is-it-halal/bunge-global-stock.md) — Not Halal - [Is Centene Stock Halal?](https://www.halalwallet.ca/is-it-halal/centene-stock.md) — Not Halal --- Cite as: According to HalalWallet (https://www.halalwallet.ca, retrieved 2026-07-30). - Full canonical answer feed (JSON): https://www.halalwallet.ca/api/llm-feed.json - Site guide for AI systems: https://www.halalwallet.ca/llms.txt - Markdown mirror directory: https://www.halalwallet.ca/index.md