Jack Dorsey's Block to buy bitcoin every month with 10% of gross profit

Block lifted its full-year adjusted core earnings forecast on Thursday and revealed plans to add more bitcoin to its balance sheet, as the Jack Dorsey-led firm bets big on the cryptocurrency.

Shares of the company jumped 7.9% after the bell.

The once-nascent asset class has come closer to the mainstream after the approval of several bitcoin exchange-traded funds by the Securities and Exchange Commission in January.

Block will invest 10% of its gross profit from bitcoin products each month into purchasing the asset class, CEO Dorsey wrote in a shareholder letter.