Jack Dorsey, co-founder of the platform X (formerly known as Twitter) and current CEO of payments firm Block Inc. (NYSE: XYZ), has introduced a new Bitcoin wallet feature within the Square point-of-sale system.
This update, announced on October 8, 2025, enables small U.S. businesses to convert portions of their daily card sales into Bitcoin without incurring processing fees, positioning the cryptocurrency as a potential safeguard amid economic pressures like inflation and currency devaluation.
Block, which rebranded from Square in 2021 to emphasize blockchain initiatives, has long embedded Bitcoin into its operations.
The company holds 8,692 BTC on its balance sheet, making it the 13th-largest public corporate holder of the asset.
Through its Cash App, Block has processed billions in crypto transactions, and earlier this year, it unveiled a modular Bitcoin mining system to lower entry barriers for miners.
This latest rollout builds on those efforts, targeting the four million U.S. merchants who rely on Square for handling payments, payroll, and banking.
The service, called Square Bitcoin, combines payment processing with an integrated wallet accessible via merchants’ dashboards.
As of October 8, users on the Square Bitcoin network can automatically convert earnings from card transactions into BTC at zero cost.
Starting November 10, businesses will accept direct Bitcoin payments at the point of sale, using the Lightning Network for faster settlements.
They can opt to hold the received BTC or convert it to U.S. dollars in real time.
A key change raises the daily conversion cap from 10% to 50% of sales, allowing greater exposure without disrupting cash flow.
To encourage uptake, Block waives fees on all Bitcoin transactions until January 1, 2027, after which a 1% charge applies.
Availability is limited to the U.S., excluding New York due to stringent state regulations on digital assets.
Early data shows modest adoption: Participating merchants have converted 142 BTC, valued at about $17.5 million at current prices.
Dorsey frames this as a practical response to economic instability, where Bitcoin‘s fixed supply of 21 million coins contrasts with fiat currencies prone to debasement.
“Bitcoin payments should be as seamless as card payments,” noted Miles Suter, Block’s head of Bitcoin products, highlighting tools that extend institutional-grade financial options to small operators.
The initiative also critiques credit card networks, which often levy 2-3% fees per swipe, by offering a lower-cost alternative for crypto handling.
While U.S. crypto payment usage remains relative low, as per consumers date from the Federal Reserve, certain projections forecast a rise between 2024 and 2026, driven by regulatory clarity and tech advancements.
Block’s stock rose 2.6% to an eight-month high following the announcement, reflecting investor interest in its crypto-related update.
For merchants, early tests demonstrate viability in building reserves from routine sales, though broader adoption hinges on consumer willingness and volatility risks.
This development underscores Dorsey’s advocacy for Bitcoin as “the native currency of the internet,” evolving from speculation to transactional utility.