Square to Embrace Bitcoin by 2026 – Jack Dorsey's Crypto Vision Continues Unabated
Small Businesses to Accept Bitcoin Payments Via Square POS by Mid-2025
Jack Dorsey's financial services company, Block, has announced plans to enable small businesses to accept Bitcoin payments directly at the cash register, starting in the second half of 2025. This innovation is set to revolutionize point-of-sale (POS) transactions and extend payment options for merchants.
The new feature, to be facilitated through Square Point of Sale, will allow merchants to accept Bitcoin payments seamlessly, with customers paying by scanning a QR code at checkout. Block's integration of the Lightning Network is expected to ensure faster transactions and near-instant settlement.
The rollout will commence in a phased manner, beginning in late 2025, and is anticipated to reach all eligible Square sellers by 2026, subject to regulatory approvals. Block prioritizes ensuring operational readiness and compliance, focusing on markets with established digital payments and cryptocurrency infrastructure.
This move marks a significant expansion of Block's Bitcoin capabilities. The company initially allowed merchants to convert part of their daily earnings into Bitcoin in 2024. Now, it's taking the next step towards offering crypto payments up front. Square's app will handle exchange rates and confirmations, streamlining the process for stores and offering convenience to customers who hold Bitcoin.
Beyond payments, Block is also expanding its Bitcoin toolkit. Its Cash App has had Bitcoin buy, sell, and send features for years, and it recently launched Bitkey, a self-custody wallet that eliminates the need for complex seed phrases. In the near future, Block plans to introduce stronger privacy and smarter recovery tools, including options for transferring funds to heirs and utilizing Proto mining gear and Spiral to support Bitcoin projects.
While merchants may still face price volatility if they opt to hold Bitcoin, automatic conversions remain an option. Using the Lightning Network can potentially reduce costs compared to the 2%-3% fees associated with credit card transactions.
Regulators will closely monitor the rollout, and approvals may vary by region. Nonetheless, shoppers could potentially see the "Bitcoin" payment option appear on Square screens as early as 2026, marking a significant test of Bitcoin's original peer-to-peer concept.
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- The integration of Bitcoin payments through Square POS is set to bring a ripple effect across various industries, particularly finance and technology, as merchants will be able to accept Bitcoin seamlessly, potentially reducing transaction fees and enhancing payment options.
- With Block's expansion of Bitcoin capabilities, technology will play a crucial role in ensuring the smooth operation of Bitcoin transactions at small businesses, as innovations like the Lightning Network promise faster settlement and the potential for cost reduction compared to traditional payment methods.
