A bipartisan coalition of 46 state attorneys general announced the settlement with **Block, Inc.** on Wednesday. The states accused **Cash App** of inaccurately promising bank-level security protections to its users, leaving many vulnerable to scams and without adequate recourse. New York Attorney General **Letitia James** stated, "Lax verification standards, a years-long absence of phone support, and deceptive social media promotions left users exposed to scammers." She added that the company "failed to help users when they were scammed, misled consumers about the safety of **Cash App**, and failed to provide the fraud protection and resolution that it promised and was required to provide by law." Texas Attorney General **Ken Paxton** echoed these concerns, highlighting that **Cash App** "delayed internal fraud investigations and set unwarranted account lockouts which left victims with no way to recover stolen funds." Texas will receive $5 million from the settlement, while New York will get $1.6 million, with other states receiving varying amounts. Investigators uncovered several critical failings. A primary issue was the absence of a direct phone number for **Cash App** customer support. This forced users to search online, often leading them to scam phone numbers set up by fraudsters. **Block** was aware of this issue but failed to provide a legitimate phone line until 2021. Furthermore, the app's lenient account creation policies contributed to the problem. **Cash App** did not require a Social Security number or date of birth for signup, and there were no limits on the number of accounts a single individual could open. This allowed malicious actors to establish and operate extensive networks of scam accounts with ease. As part of the consent judgments, **Block** is now mandated to provide 24-hour live customer support, with at least 13.5 hours covered by a "real person." This multi-state agreement builds upon a prior federal consent order from the **Consumer Financial Protection Bureau**, issued in January 2025, which requires **Block** to distribute between $75 million and $120 million to states. **Block, Inc.**, founded by **Twitter** founder **Jack Dorsey** in 2009, also owns **Square** and **Tidal**. As of Wednesday afternoon, neither **Block** nor **Cash App** had released a public statement regarding the settlement.