Square Inc, an American financial services, merchant services aggregator, and mobile payment company announced on Thursday that it bought $50 million in bitcoin.
In a statement, the company led by Twitter founder Jack Dorsey said that it sees cryptocurrency as “an instrument of economic empowerment.” Square went on to add that cryptocurrency helps increase inclusivity in the global monetary system, which is one of its own purposes.
The purchase represents 4,709 bitcoins and represents 1% of the company’s assets by the end of Q2. The investments represent Square’s relief into cryptocurrency, with Bitcoin’s potential to “be a more ubiquitous currency in the future.”
In May, Square’s revenue from Bitcoin rose by 367% to $306 million against total revenue of $1.38 billion following the surge in demand for bitcoin well as the rise in active users.
Bitcoin traded higher on Thursday, nearing $11,000 climbing by over 2% to hit a high of $10,963.16. The cryptocurrency has gained about 7% over the past month and is up over 50% since the start of the year.
Meanwhile, cryptocurrency exchange and derivative trading platform BitMEX has announced that its three founders Benjamin Delo, Arthur Hayes and Samuel Reed and employee Gregory Dwyer stepped down. They are accused of getting over $11 billion worth in Bitcoin and more than $1 billion in illegal fees. Chief Operating Officer Vivien Khoo takes over as chief executive.