What happened
Shares of Square (SQ 0.17%) climbed 11% after the fintech company launched a slate of new banking services, and its CEO shared his crypto-related aspirations.
So what
On Tuesday, Square unveiled three new products: Square Checking, Square Savings, and a rebranding of its business financing division, which will now be called Square Loans. These products will be integrated into Square's existing merchant services, with the goal of providing business owners with a one-stop solution for their financial needs.
Image source: Getty Images.
And on Wednesday, CEO Jack Dorsey shared his vision for Bitcoin (BTC +2.37%). "My hope is that it creates world peace or helps create world peace," Dorsey said during an online event called "The B Word."
Dorsey has long been a vocal advocate for Bitcoin and the societal benefits it could bring about. Square gave users of its popular Cash App the ability to buy and sell Bitcoin back in 2018. The next year, the company launched Square Crypto, which funded a small team of developers and designers to help strengthen Bitcoin's network. Now, Square wants to build a new business tasked with accelerating the growth of decentralized financial services, or DeFi, built upon Bitcoin's network.
Now what
Square gives investors many ways to win. Its core payment processing operations and ecosystem of complementary banking services are poised to benefit as the economy recovers. Its cryptocurrency-trading services are driving more people to Cash App and boosting user engagement levels. And Square's new DeFi-focused division could develop into an intriguing new growth driver in time.
With multiple ways to profit, many more gains could lie ahead for Square's shareholders.
