Square invests $170 million in bitcoin
Elon Musk has set an example that inspired others. Recently, it became known that Twitter and Square CEO Jack Dorsey bought 3,318 bitcoins at a purchase price of $170 million. The cryptocurrency accounts for about 5% of Square's total assets as of the end of 2020.
This is not the first investment in bitcoin made by the company. In October last year, it purchased $50 million in the top cryptocurrency. Later, Dorsey decided to raise the stakes and increased investments in BTC. According to the official statement of Square, the company plans to store bitcoins for an extended period of time. It commits to report losses from a decline in the value of the digital asset and disclose profit only after selling the tokens.
At the same time, it is possible to calculate the company’s losses and profits anytime, knowing that the company bought 3,318 bitcoins worth $170 million.
In February, the world’s most valuable digital coin hit another all-time high, settling above $59K. In total, bitcoin has soared by more than 90% since the beginning of 2021. Later, it tumbled by over 10% to $49,169.
In January 2021, Tesla acquired $1.5 billion in BTC and gained $1.08 billion from the purchase. Notably, the automaker made more money on bitcoin than on cars.