Square recent announced that their profits from cryptocurrency had doubled in Q2, and two weeks later they posted on Twitter that clients can now use their Cash App to trade bitcoin all across the United States:
“Red, white, and bitcoin. Now you can use Cash App to buy bitcoin in all 50 states.”
Jack Dorsey, Square’s CEO, has made many recent moves and has been a long time supporter of cryptocurrency in general. He made the statement:
“The internet will have a single currency. I personally believe that it will be bitcoin.”
It has almost been a year since Square integrated bitcoin into its payment app, and has been expanding its bitcoin functions since then. Before obtaining New York Department of Financial Services’ bitlicense the the company’s mobile app was limited to select states.
The Head of Cash App, Brian Grassadonia, commented on the importance of gaining the approval from New York state:
“We are thrilled to now provide New Yorkers with Cash App’s quick and simple way to buy and sell bitcoin. Square and the New York State DFS share a vision of empowering people with greater access to the financial system and today’s news is an important step in realizing that goal.”
Square reported that its cryptocurrency activity has garnered more that $70 million in the first six months of 2018, as well as pulling in almost half-million dollars in trading fees. This was during bearish decline of bitcoin as it reached its peak in December when it reached almost $18,000 and then subsequently dropping to less then $6,000 BTC.
This new move puts Cash App in direct competition with the leading user application in the US, Coinbase. Coinbase has stated that they have provided $150 billion cryptocurrencies in trades since its beginnings back in 2012, and it had generated over $1 billion in revenue in last year from a reported 20 million registered clients, more than 7 million active users monthly. However to remain competitive with it peers Coinbase and Abra they may have to look into diversifying its support of multiple cryptocurrencies.