Payments Company Square Inc. has invested $50m of its treasury into Bitcoin, as it looks to build for the future.
The investment is approximately one percent of Square’s total assets, as of the end of the second quarter of 2020, and saw them buy approximately 4,709 bitcoins.
Founded by CEO Jack Dorsey, the US-based payments firm reasoned that Bitcoin had the potential to become a more ‘ubiquitous currency’ in the future.
The news came from a ‘whitepaper’ announcement yesterday, and the market reacted positively as the stock price rose 1.84%.
CEO Jack Dorsey shared the statement on his Twitter feed. Titled Square, Inc. Bitcoin Investment Whitepaper, the NYSE listed firm stress the reasoning for shifting part of their treasury into Bitcoin is down to the uncertainty of the economy.
‘Given the rapid evolution of cryptocurrency and unprecedented uncertainty from a macroeconomic and currency regime perspective, we believe now is the right time for us to expand our largely USD-denominated balance sheet and make a meaningful investment in bitcoin.’
The San Francisco based payments firm is well known for its bullish stance on Bitcoin. Back in 2018 it launched Cash App, a Bitcoin trading app which enables users to buy and sell Bitcoin among other financial services.
And from the whitepaper announcement, it’s clear that it sees Bitcoin as a tool for inclusivity and empowerment for everyone. Read More