The support of Square for Bitcoin has been very fruitful for them. The value of Bitcoin has grown almost 5 times since the time they purchased it for the first time. The company has now reportedly bought even more shares of the BTC cryptocurrency.
Square’s Equity Boom
Square is an E- payment processing company and it has always been keen to invest in Bitcoin which, as a result, has grew their equity three times of what it was before getting involved with Bitcoin.
The owner of Square is Jack Dorsey. He is the CEO of Twitter as well. As his company disclosed their 4th quarter and full year financial statements, they stated that they had been buying more and more Bitcoins since their maiden purchase and they now own a total of 3,318 more Bitcoins and they have spent an amount of $170 million on these purchases.
The company has not stated whether they acquired all these Bitcoins in a single transaction or multiple transactions but it is most likely that they bought it in segments, whenever the market went down and the prices were low.
Exponential Growth
Around 5% of the company’s total equity consists of Bitcoin. This information was shared by the company to the investors and then shared on a public relations platform.
Jack Dorsey’s company has been doing quite well. The company’s reports stated that their annual earning for last year was $4.5 billion, out of which the 4th quarter alone bought in $1.76 billion of the total earnings. This was a huge increase in earnings of the last quarter compared to the previous year.
All this increase in earnings and equity was due to the rise in the value of Bitcoin as other large enterprises such as Tesla, PayPal and MicroStrategy also made significantly big investments in Bitcoin which also fueled the mass public’s interest.
Square was one of the institutional pioneers in crypto and specifically Bitcoin Investments. The company’s strong stance on Bitcoin was also largely due to its CEO, Jack Dorsey, who has always been a great supporter of Bitcoin and has shared his positive vision about the decentralized properties of Bitcoin
CashApp from Square has always allowed its users to purchase stocks, Bitcoins and the option of sending and receiving traditional money, with such a user friendly interface, which makes it very easy to access and use.