Popular mobile payment company Square recently announced that they will be offering Bitcoin trading in all 50 states of the U.S.
After a beta launch in November 2017, Square’s Bitcoin program was a success in all but four states by January 2018. The states of New York, Wyoming, Georgia and Hawaii were unsuitable environments for transacting Bitcoin at the time largely due to the strict regulations that governed Bitcoin transactions. In Hawaii, for instance, a double reserve requirement was imposed.
This meant that cryptocurrency trading services would need to have fiat reserves equivalent to the total amount of Bitcoin held by their customers at all time. It is this policy that eventually led to the suspension of Bitcoin transactions in Hawaii by Coinbase.
Square announced the news on Twitter confirming that the Bitcoin trading program, which has been in the works for months now, is now fully active.
The firm seeks to reach out to Bitcoin investors from all over the nation and to provide the service to states that had been previously locked out of Bitcoin transactions due to prohibitive legislation.
The company’s nine-year run as a financial service provider has had its share of challenges, but none as impactful as the losses suffered when they first introduced Bitcoin trading.
However, the company, which is co-owned by Twitter CEO Jack Dorsey, insists that the losses accrued since their introduction of Bitcoin trading are insignificant.
Square has hurdled a significant amount of obstacles in the buildup to releasing the nationwide Bitcoin trading platform. In March this year, the company’s Cash App extended its Bitcoin trading services to Wyoming after legislators passed a bill to remove the double reserve policy.
Square also joined the list of the few exclusive crypto services that are licensed to operate in New York after securing a permit known as a BitLicense.
Although it remains unclear what led to the change in legislation in Georgia and Hawaii, Square is now one of the first mobile payment companies to offer Bitcoin trading in all states.
Square has made over $70 million from crypto trading in the second quarter, which is over twice as much as they made in the first quarter ($34 million).
Profit margins have doubled as well, with the company recording a margin of $420,000 in Q2, which is roughly twice as much earned in Q1.
Dorsey believes that Bitcoin will one day become the coin of choice on the internet. Bitcoin has been recovering from a shocking drop that halved its value in the span of a few months.
Despite forking out to Bitcoin Cash and the list of problems that have plagued the core development team, it retains its position as the most valuable cryptocurrency operating today.
Bitcoin is currently trading above the $6,000 mark despite suffering a downturn earlier this month.