Square Offers Bitcoin Payment Solutions to Small Businesses

Square, the payment services division of Block, has introduced a new suite of tools aimed at making it easier for small businesses to accept payments in Bitcoin (BTC). This new service allows businesses to accept crypto payments and manage their digital assets alongside traditional financing.

The introduced tools include three main features under an offering called Square Bitcoin: Bitcoin payments, automatic Bitcoin conversion from card sales, and an integrated Bitcoin wallet within the Square seller platform. Businesses will be able to accept Bitcoin without paying any transaction fees for the first year and will have the option to automatically convert up to 50% of their daily sales into Bitcoin.

These tools are available for eligible U.S. businesses, and Bitcoin payments will go live on November 10th. The announcement reflects a broader trend, with U.S. crypto payments expected to grow by 82% between 2024 and 2026. However, until now, access to Bitcoin has generally focused on investors or tech-savvy individuals. Square's move aims to make Bitcoin access more common in everyday life.

In practice, these tools could enable a local coffee shop to receive Bitcoin payments from a customer via a mobile wallet, automatically convert half of the day's sales into Bitcoin, and review all their finances from the same panel where they manage inventory and payroll. According to Square, 142 Bitcoin have been accumulated so far with the early use of the conversion feature. By integrating Bitcoin into the existing payment and banking ecosystem, Square — a subsidiary of Block — aims to reduce the barriers for small businesses to participate in the crypto economy.

This continues Block’s focus on Bitcoin, encompassing retail tools like Cash App and hardware initiatives like the Bitkey wallet and Proto mining products. Block's head of Bitcoin products, Miles Suter, stated that these tools are designed so that sellers “never miss a sale.” Suter said, “We’re making Bitcoin payments as seamless as card payments.”