Payment processor Square has officially introduced a Bitcoin payment feature for its sellers, enhancing the flexibility of transactions by allowing merchants to accept Bitcoin (BTC) at checkout through its point-of-sale system. This development is part of a broader strategy to integrate cryptocurrency payments into everyday financial solutions.
Jack Dorsey, co-founder of Block—Square’s parent company—announced the feature in a recent social media update. He highlighted that merchants can now receive payments in various forms: Bitcoin to Bitcoin, Bitcoin to fiat, fiat to Bitcoin, and fiat to fiat. This versatility is expected to appeal to both sellers and consumers who are increasingly interested in integrating digital currencies into their transactions.
Initially, however, Bitcoin payment options are limited to in-person purchases at point-of-sale terminals, with plans for online and invoicing capabilities in development. Jacob Szymik, an account executive at Square, confirmed these future updates are in progress, emphasizing that merchants won’t incur any fees until 2027. Following this period, Block has indicated that transaction fees will be set at 1%, a significant reduction compared to the typical credit card processing fees that usually range from 1.5% to 4%.
This latest innovation follows an October announcement from Square about a new feature that allows sellers to convert a portion of their daily card sales into Bitcoin, as part of its integrated payment and wallet solution known as Square Bitcoin. While Square initially planned to roll out extensive Bitcoin payment capabilities by 2026, the company is now executing its strategy ahead of schedule.
Square boasts a vast user base, with over four million sellers utilizing its services across eight countries, including the United States, France, the United Kingdom, and Japan. Feedback from users has already surfaced, with reports of successful Bitcoin transactions in real-time. For instance, Parker Lewis, head of business development at the payment platform Zaprite, shared his experience buying coffee using the Bitcoin payment feature at Medici, a coffee roaster in Texas, celebrating this milestone for both the establishment and the broader Bitcoin community.
Katie Ananina, chief marketing officer at CitizenX, also reported her success as one of the earliest customers to pay with Bitcoin at Medici. She remarked on the historical struggle to onboard merchants to accept Bitcoin, describing Square’s recent move as a landmark achievement that simplifies the process significantly.
A recent survey conducted by YouGov further highlights the growing interest in cryptocurrency, revealing that 37% of respondents from the US and UK view payments as a primary use case for crypto and artificial intelligence.
In tandem with the rollout, Dorsey announced the launch of a live map feature that displays all merchants globally that accept Bitcoin. He encouraged users to advocate for local sellers to adopt Bitcoin acceptance, particularly during the period of zero transaction fees, suggesting that accepting Bitcoin could help them navigate challenges associated with dollar depreciation.
