The crypto market has been asking, and Jack Dorsey delivered.
After MicroStrategy made an investment in Bitcoin and added it to its reserve, the market has been wondering when bitcoin's staunch supporter, Twitter CEO Dorsey, who sees BTC becoming a currency of the Internet someday, will take such a step.
Today, with a $50 million investment in Bitcoin, it has happened. This investment represents 1% of Square’s total assets at the end of Q2 2020.
“The investment underscores Square’s purpose of economic empowerment,” reads the official announcement by the payments company.
This could be why the price of bitcoin took a sudden spike to $10,790.
Square has bought a total of 4,709 BTC for $50 million because it believes “cryptocurrency is an instrument of economic empowerment.” Also, it aligns with the company’s purpose of allowing the world to participate in a global monetary system.
“We believe that bitcoin has the potential to be a more ubiquitous currency in the future,” said Square’s Chief Financial Officer, Amrita Ahuja.
“As it grows in adoption, we intend to learn and participate in a disciplined way. For a company that is building products based on a more inclusive future, this investment is a step on that journey.”
Already, its Cash App has been allowing bitcoin trading since 2018. Last year, the company also formed Square Crypto and recently launched the non-profit Cryptocurrency Open Patent Alliance (COPA) to encourage crypto innovation.
But it has been only now that Bitcoin has become a financial investment as well.