Cash App is rolling out managed youth accounts that start non-Bitcoin enabled for the youngest users, with older eligible Cash App users still able to access Bitcoin and sponsored teen accounts offering Bitcoin with parental approval.

The new program includes children aged 6-12 earning 3.25% interest on savings as part of Block Inc.’s push into youth banking.

Children can graduate to their own Cash App accounts at age 13 with parental approval, gaining access to buying and selling Bitcoin and stock trading under adult supervision through sponsored accounts until they turn 18.

Block’s Raising Gen Alpha findings show high saving activity among young people, with 89% of Gen Alpha children actively saving and 34% of savings goals tied to digital purchases like gaming, tech, or toys at roughly a third each.

The report also shows strong parental involvement, with about 77% of Cash App-using parents engaging in money management discussions for their kids and half of these parents managing money for their children on the platform.

The move aligns with broader fintech trends of courting younger users to build long-term relationships while addressing debates about financial literacy and safeguarding for minors.

Industry observers note the initiative fits a trend of fintechs extending services to younger users, though it invites scrutiny over financial literacy safeguards.

Block stock edged up about 1.4% near $75 after the market opened, following February layoffs of more than 4,000 workers as the company pivots toward AI-driven efficiency.

The stock movement comes amid broader company adjustments, including a sizable February layoff to invest in AI-powered growth.

Block CEO Daniel (Owen) Jennings emphasized that the product is designed to build good money habits with active parental involvement.

Jennings noted Cash App serves more than 5 million teens monthly and aims to foster good money habits early while keeping parents closely involved.

Cash App already serves about 5 million monthly active teen users and is targeting Gen Alpha and the next generation of U.S. adolescents.