Jack Dorsey’s Square is acquiring another payments giant Afterpay
Jack Dorsey’s payments startup Square has revealed that customers bought $2.72 billion worth of bitcoin in Q2 of this year. The company generated a gross profit of $55 million during the second quarter on Cash App fees related to the purchase and sale of bitcoin. Both numbers increased approximately 3 times year over year.
Square has continued to roll out bitcoin purchasing features such as custom orders, which allow users to set specific prices for Bitcoin buy and sell.
Now Square is set to acquire Australia payment firm Afterpay for $29 billion, whose 16 million customers will be able to buy bitcoin through Cash App. The acquisition will enable both firms to offer their financial products to more clients. The transaction is expected to happen in Q1 2022.
Afterpay is a payment platform that allows users to receive products first and pay later over multiple installments with no interest if their payments are on time. It is a leading BNPL platform operating in Australia, the United Kingdom, Canada, the United States, and New Zealand. The service claimed to have 16.2 million users as of June 30. Some believe that the merger will “create a global transactions giant.”
Square has been working on a hardware wallet, as well as bitcoin-focused decentralized finance platform recently, and following the integration Afterpay consumers will also be able to get the benefits of the newest Cash App product such as financial tools, including money transfer, stock and bitcoin purchases.
There is clearly more growth on the horizon when it comes to joining your efforts with another big payment platform. Let’s see what their gross profit will be.