Square mobile payments has launched two new products; "on-demand pay," which lets businesses using Square for payroll give employees up to $200 of their paycheck ahead of schedule, and "instant payments" which lets businesses fund payroll immediately using money in their Square balance, instead of paying through external bank accounts, according to a report on CNBC.

Both products encourage users to sign up for direct deposit through Square's Cash App. Considered initially as a competitor to PayPal's Venmo, Cash App also offers direct deposit and a debit card, but unlike PayPal, Cash App offers equity and cryptocurrency trading.

"Until the coronavirus crisis, Cash App really hadn't been on the radar for many investors when they thought about Square," Max Friedrich, analyst at ARK Invest said in the report. "That changed through the [coronavirus] crisis. Square's main business stopped and all eyes focused on the Cash App."

The Cash App gross profits rose 167% year-over-year to $281 million. Stored funds customers keep on the app rose 86% from the prior quarter. As of June, the app had 30 million users up from 24 million at the end of last year.