– Attorney General Anthony G. Brown today announced a $45 million multistate settlement with Block, Inc., the company behind the popular peer-to-peer payment app Cash App. The settlement resolves allegations that Block misled consumers about the security of Cash App, failed to protect users from fraud on the platform, and didn’t provide the fraud protection and resolution process that it promised and that was required by law.
“Cash App failed to protect its users from fraud and then made it nearly impossible for victims to recover what they lost,” said Attorney General Brown. “This settlement strengthens the company’s fraud and dispute resolution practices: protections that Maryland consumers deserve when they trust a business with their money.”
The Attorney General accused Block of telling Cash App users their money was safe, falsely implying that their app provided similar protections to a bank. At the same time, the Attorney General alleges Block knew that fraudulent activity on its platform was rising sharply and instead of warning users or strengthening protections, it doubled down on its marketing…