Via a private media call with Market Watch, Jack Dorsey, the CEO of Square and Twitter brought to light his plan of introducing Square into the world of Bitcoin. The payment service app will support the cryptocurreny in making consumer-to-merchant bitcoin payments.
During the call, Dorsey stated that Bitcoin would present the opportunity of giving more individuals access to the financial system. He was further quoted saying, “Bitcoin, for us, is not stopping at buying and selling. We do believe that this is a transformational technology for our industry, and we want to learn as quickly as possible.”
This past November saw Square bring Bitcoin trading onto the Square Cash app platform. Showing up on the firm’s quarterly report were the impressive results of that introduction. The net revenue of the company significantly increased when compared to the previous quarterly report earlier that same year. It was noted in the quarterly report that, “Additionally, customers can now buy and sell Bitcoin in Cash App. We observed that this was a feature our customers wanted, and we support Bitcoin because we see it as a step in the long-term path toward greater financial access for all.”
That said, it was in December that Square finally announced that they had topped over 7 million customers. This came right after they introduced the Bitcoin Trading Service. The report also showed that Square Cash debit card customers spent more than $90 million.
In regards to Square’s move, Credit Suisse analyst Paul Condra stated, “We believe bitcoin and other crypto sales represent a potential mid/long-term growth opportunity for Square and we are positive on the strategy. This strategy could also drive greater adoption of Square Cash and we note SQ is well positioned to potentially facilitate crypto-payment purchases at Square merchants at some point in the future.”
Square isn’t the first fintech company to embrace the cryptocurrency craze and it surely isn’t the last. This is in clear contrast to the state of fintech companies only a few years ago. Back in 2015 cryptocurrency was something that no company even thought to get involved in. Today we are witnessing company after company make way for Bitcoin and other cryptocurrencies. Some aren’t even doing it by choice. With banks looking on with concern and cryptocurrency prices always fluctuations, one can’t be sure if cryptocurrency is a mere fad or permanent fixture.