This American company that provides financial, commercial and mobile payment services, has just announced its investment of $50 million to purchase Bitcoin (BTC).
One of the most recognized financial services companies in the world, Square, founded by software developer and entrepreneur Jack Dorsey, has just announced on Twitter that it invested a total of $50 million to purchase 4.709 bitcoins (BTC). The figure newly invested by the company represents 1% of all its assets by the end of the second quarter of this year.
In its tweet, Square states that Bitcoin It aligns with the company's objectives and purposes since it is an instrument of economic empowerment that provides an efficient way to participate within a global monetary system. In his opinion, the market-leading cryptocurrency has all the potential to become a powerful currency in the future, as its adoption and use grows.
Jack Dorsey is the CEO of Square and also CEO of Twitter, one of the most popular microblogging social networks in the world, with more than 300 million active users today.
It may interest you: Cryptocurrency defender in Venezuela proposes that the National Mining Pool coexist with the private sector
$50 million in Bitcoin
Square's announcement surprised and excited the crypto community in general, which soon welcomed the company to the universe of investments in cryptocurrencies, and digital assets. Especially since Square's investment represents one of the largest investments made in Bitcoin by a financial services institution. In fact, Square's recent announcement is the second largest investment that has occurred in the crypto space, after the one announced by microstrategy, one of the most important business intelligence firms in the United States, which has already invested about $425 million in the cryptocurrency so far this year.
Square CFO Amrita Ahuja, stated that the company intends to “learn and participate in a disciplined manner” in the development of Bitcoin. According to his statements, the growing use and adoption that cryptocurrency is experiencing in markets worldwide led Square to invest in it, as a way to support this growth and further encourage its use and adoption. Ahuja also affirms that Bitcoin is a key piece within the new products that the company is developing.
“As it grows in adoption, we intend to learn and participate in a disciplined manner. “For a company that is building products based on a more inclusive future, this investment is a step on that path.”
After Square unveiled its investment in Bitcoin, the company's shares skyrocketed, rising nearly 1,84% at press time, shows Investing.com
Secure Storage
Square stated that the newly acquired cryptocurrencies are kept inside a cold wallet (cold wallet), which ensures secure storage of your digital assets. This wallet uses software called Subzero, designed and developed by the same company for its Bitcoin trading platform, Cash App. Likewise, Square acquired an insurance fund against theft, hacking or any other cyber crime that risks the integrity and security of its investments in the cryptocurrency.
Square, leader in the crypto space
Although this is the company's first financial investment in Bitcoin, Square has been involved in this industry long before. In 2018, the company began to introduce Bitcoin into its services, through its product Cash App, which allows its clients and users to buy and sell the cryptocurrency. Square has also declared itself a strong believer in Bitcoin and new technologies, which is why in 2019 it started an independent work organization with the aim of contributing to the development of this cryptocurrency.
Crypto Square is a team organized by Square, which is focused on contributing to the work and development of Bitcoin open source. Likewise, the company also created another organization known as Cryptocurrency Open Patent Alliance (COPA), which is a non-profit organization dedicated to encouraging and incentivizing technology participation, innovation and cryptography within various sectors and industries. Through COPA, the company offers different systems and developments based on cryptography and other technologies, which support companies, companies, organizations and individuals who need to operate within the cryptospace.
Square believes that Bitcoin is a unique investment instrument that will help boost the global economy, in addition to being an important piece in the construction of a new safe, transparent and reliable financial system. Square's investment is an important step in furthering its mission as a financial services company, which intends to enable different businesses, organizations, and individuals to openly participate in the global economy.
Continue reading: Crypto investor Grayscale adds another 17 BTC to its reserves of this cryptocurrency
