Square’s ability to innovate and decision to enter in Bitcoin or Crypto currency market will create extra revenue for the company. According to Credit Suisse analyst Paul Condra, Square may attract 10 millions users in next 2 years for Bitcoin Buy and Sell on their Cash App. They could change 1.5% per transaction and on an average each user will do about $200 transactions per year, increasing incremental revenue for Square.
Square’s entry into Bitcoin Market will create lot of demand for Bitcoin:
- Square can integrate Bitcoin in their Point of Sale (POS) System and make it easy for small vendors, cafe’s and business to accept Bitcoin quickly.
- Square is Payment Processing Company, they can make it easy for people to Buy, Sell as well as Send and Receive Bitcoin or other Crypto Coins.
- Square could able to hold the reservers in Bitcoin or can help Small businesses to convert the reservers quickly in to “fiat” currency.
- Square can build Crypto Exchange business around their Cash app and POS applications.
- Square’s entry into Bitcoin market increases legitimacy of Crypto currency.
All in All this is Great news for Bitcoin Investors, Hodlers and crypto currency believers. But it also means it will be competitor to Coinbase and Coinbase must quickly should innovate. Coinbase must work on and make it simple for Businesses to accept crypto currency. If they do not, someone else may enter in space. Paypal will be Next in Bitcoin Market ????