Square bets big on Bitcoin! Square bets big on Bitcoin by buying 4,709 Bitcoins at the price of $50 million dollars.
The announcement was made by co-founder and CEO Jack Dorsey. This purchase represents nearly 1% of the company’s total assets.
“We believe that bitcoin has the potential to be a more ubiquitous currency in the future,” Square’s Chief Financial Officer, Amrita Ahuja, said in a statement. “As it grows in adoption, we intend to learn and participate in a disciplined way.”
This isn’t square’s first dance with cryptocurrency. In 2018, Square famously expanded services offered by its Cash App to support Bitcoin trading. In 2019, they launched Square Crypto.
Square’s bullishness on Bitcoin has paid off. In August, the company reported that Bitcoin trading revenue from Cash App rose 600% from the previous year to $875 million. Cryptocurrency also accounts for almost half of Square’s total sales of $1.92 billion.
With the USD taking a hit during the pandemic, Bitcoin has had a good year. It’s up nearly 50%. After Square announced the investment, the price of Bitcoin rose more than 2%.
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