Is this the long awaited institutional wave of investors dipping their toes in the cryptocurrency space?

First MicroStrategy a Nasdaq listed business intelligence company using most of their cash holdings to buy over $250 million of bitcoin. Now Square (SQ) is joining the trend starting with a small $50 million purchase. What public or private company will be next making waves by strategically adding bitcoin to their currency reserves?

These are the buyers we have been waiting for to begin to bring bitcoin and hopefully the rest of the space into the mainstream. Today a couple of companies, tomorrow pension plans and other retirement assets? Exciting times.

Square is leading the mass adoption of cash less transactions.

The cash less trend will continue especially after Covid-19. These methods are convenient and secure. Now they are the safer and more sanitary way for people to pay each other and shop as the pandemic continues. The share price is having a massive boost from increased demand before the recent bitcoin news. We will see how much effect additional bitcoin purchases have on Square's bottom line in the months ahead.

Square has a number of businesses under its belt. According to wikipedia Jack Dorsey first developed the small white square credit card reader in 2009 because a friend was unable to accept credit cards for the sale of his product. The company has expanded into services with an online booking tool, a payroll program and the popular Cash App.

Cash App continues to grow rapidly and now has $1.7 billion in fiat money stored for business and personal use.

As the cash less trend continues and the company continues to innovate the share price should be well supported.

Disclosure: I wrote this article myself, and it expresses my own opinions. I have no business relationship with any company whose stock is mentioned in this article. The information provided should NOT be considered advice. The topics discussed are risky and have the potential to lose a substantial amount. I am not an investment professional and therefore do not offer individual financial advice. Please do your own research before investing.

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