Jack Dorsey’s fintech company, Block, recently made an announcement about an exciting new feature for Square merchants. This feature allows them to allocate a portion of their daily sales to Bitcoin, with the added benefit of on-demand payouts via CashApp.
Currently, qualified merchants in the United States have the ability to allocate between 1% and 10% of their daily sales to Bitcoin (BTC). TechCrunch reported that the fiat funds collected throughout the day are converted to Bitcoin at the end of the day and then deposited into the user’s Cash App account. However, merchants will be required to pay a 1% fee for each conversion.
Square stated that this move will empower small businesses and individual proprietors to participate in the global financial economy. Notably, this integration was announced just one day after Block expressed its intention to develop a full-scale Bitcoin mining solution.
In recent news, Block has made a bold dive into the mining scene. They have successfully developed a proprietary three-nanometer chip specifically designed for mining Bitcoin. To share this exciting news, Dorsey posted “We’re building a mining rig” on the X social media platform.
This sudden shift towards Bitcoin is likely fueled by Block’s exceptional BTC profits in the fourth quarter of 2023. Cash App alone generated an impressive $66 million in Bitcoin gross profits, marking a 90% increase compared to 2022.
Furthermore, this expansion into Bitcoin services aligns with Dorsey’s commitment for Cash App to become one of the leading providers of banking services for households in the United States earning up to $150,000 per year.
In related news, Morgan Creek Capital predicts that baby boomers will invest a staggering $300 billion into the crypto markets.