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Block Inc. Announces Bitcoin Payments Integration on Square Platform
Block Inc., the financial services company led by Jack Dorsey, has unveiled its ambitious plans to integrate Bitcoin payments through its payments subsidiary, Square. This groundbreaking feature, which aims to accelerate cryptocurrency adoption in mainstream commerce, will be launched in a pilot phase later this year, with a full global rollout expected by 2026.
During the "Bitcoin 2025" event held on May 27, Block Inc. showcased this new functionality by demonstrating Bitcoin-powered payments at the .BTC Inc merchandise store. The integration promises to make Bitcoin payments seamless and accessible to millions of merchants worldwide.
How Bitcoin Payments Will Work on Square
Square will empower merchants to process Bitcoin transactions using their existing hardware, leveraging the power of the Lightning Network — Bitcoin’s layer-2 scaling solution. The Lightning Network enables faster settlements and dramatically lowers transaction fees compared to Bitcoin’s mainnet, making it an ideal solution for everyday retail transactions.
In a post on X, Jack Dorsey explained that merchants will have the flexibility to either hold received Bitcoin or instantly convert it into fiat currency, depending on their business needs and risk preferences.
Phased Rollout and Regulatory Compliance
Block Inc. stated that the rollout of Bitcoin payment support will begin in the second half of 2025 and, pending regulatory approval, become available to all eligible Square merchants globally by 2026. This builds on Square’s earlier "Convert to Bitcoin" feature, which previously enabled merchants to automatically convert their sales to Bitcoin. Now, with this latest development, customers will simply scan a QR code to pay with Bitcoin, while the Lightning Network ensures near-instant transaction settlement behind the scenes.
Miles Suter, Product Lead for Bitcoin at Block Inc., emphasized that the new payment option has been designed to empower merchants by broadening their payment acceptance choices and giving them direct access to the growing crypto economy.
Enhanced Security and Privacy for Bitkey Wallet
In addition to the Square integration, Block Inc. announced new security and privacy features for its Bitkey Bitcoin wallet — first introduced in late 2023. Starting in May, Bitkey will offer enhanced protection for self-custody without requiring users to memorize a recovery phrase, making Bitcoin storage safer and more user-friendly for everyone.
Real-World Impact: Bitcoin Payments Reduce Costs for Stake n’ Shake
The real-world benefits of Bitcoin payments are already being realized at global restaurant chain Stake n’ Shake. At the same event, Dan Edwards, CEO of Stake n’ Shake, revealed that the adoption of Bitcoin payments has slashed the company’s payment processing costs by up to 50%. According to Edwards, Bitcoin transactions are not only faster than credit card payments, but also result in significant savings for both merchants and customers:
“Our experience shows that paying with Bitcoin is substantially faster than using credit cards. When customers choose Bitcoin, we save close to 50% on processing fees.”
This, Edwards noted, highlights the mutual advantages of Bitcoin for consumers, businesses, and the broader cryptocurrency ecosystem.
Stake n’ Shake announced on May 9 that, as of May 16, Bitcoin payments would be accepted at all their locations worldwide — cementing their position as an industry leader in crypto adoption.
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