Block’s financial payment service for businesses, Square, will allow merchants to transfer 1-10% of their daily sales into their Cash App accounts and conveniently convert it into Bitcoin. This move is expected to bring in more incremental funds in the future.
Block, which owns Square and the mobile payment app Cash App, announced a new plan yesterday. It will enable merchants using Square services to transfer 1-10% of their daily sales into their Cash App accounts and convert it into Bitcoin.
Block explained that Bitcoin is an economic empowerment tool and that many merchants using Square services are interested in Bitcoin. The feature will be officially launched in the United States from the announcement and will be open to all sole proprietors or single-member limited liability companies in the coming months. Sellers can transfer 1-10% of their daily sales into their personal Cash App accounts or send Bitcoin to other wallets at any time. Block will charge a 1% fee for each conversion by sellers.
How much funding will flow into Bitcoin? According to Block’s Q4 2023 financial report released in February, Square’s Gross Payment Volume (GPV) was $53.5 billion. If every merchant uses 10% of their payment amount to purchase Bitcoin, approximately $20 billion could flow into BTC that year. It is worth our continued attention to see how much entry capital it will bring in the future.