Square, formerly known as Block, has introduced a new feature allowing over four million Square merchants to accept Bitcoin payments. This move facilitates seamless conversions between Bitcoin and fiat currencies using the Lightning Network. This integration enables sellers to convert Bitcoin to fiat or vice versa with nearly instantaneous settlement at no processing fees until 2027. This initiative is part of Square’s commitment to expanding Bitcoin’s role as a real-world currency within commerce. The feature aims to provide small businesses a seamless experience similar to traditional card payments, similar to the approach Jack Dorsey has pursued throughout his career.
Square CEO and outspoken Bitcoin advocate, Jack Dorsey, highlights this integration as a significant step towards integrating Bitcoin into everyday transactions through Square’s expanding payment ecosystem. He believes that this new feature will make Bitcoin payments as user-friendly as card payments, empowering businesses to participate in the growing crypto economy.
This move signals a strategic focus on Bitcoin by Block and emphasizes the importance of merchant payment acceptance and fiat on/off ramps for Bitcoin. The initiative could impact Bitcoin’s transaction volume and activity on the Lightning Network. While specific data is not yet available, increased activity within payment channels suggests this integration has had an effect.
This launch follows previous initiatives by Square to integrate Bitcoin into its ecosystem through features like Cash App trading and the BitKey hardware wallet. This new feature builds upon those efforts, offering broader functionality for Bitcoin within the Square ecosystem.
However, regulatory constraints in certain regions such as New York have limited access. Despite these hurdles, this rollout demonstrates a commitment to combining crypto commerce and traditional financial systems under Jack Dorsey’s leadership.