Jack Dorsey’s Square wins patent for crypto-to-fiat transactions
US Patent and Trademark Office approves patent for system that allows users holding different assets to transact with one another in real time
Jack Dorsey’s payments provider Square has won an American patent for a new network that facilitates crypto-to-fiat transactions.
The US Patent and Trademark Office approved a patent for a system that allows users holding a variety of different assets to transact with one another in real-time.
Established in 2009 with Twitter CEO Jack Dorsey as co-Founder, CEO and Chairman, Square now employs more than 3,000 people around the globe. Its mobile payment service Cash App has helped the company achieve a market capitalisation of more than $29.5bn (£22.5bn, €26.6bn).
According to the Square’s patent application the “technology permits a first party to pay in any currency, while permitting the second party to be paid in any currency”.
With some cryptocurrencies currently prone to sudden volatility and with some payments taking hours to fully process, many merchants and vendors have been reluctant to accept crypto payments. Square stated its desire to “remove barriers” with improved automatic exchange features and real-time settlements.
Square also announced that it will release a "Lightening Development Kit" which will enable app and wallet developers to create layer-2 solutions on Bitcoin protocol.
Dorsey has long been a vocal supporter of digital asset technology and Bitcoin (BTC) in particular. In an interview in 2018 he said: “The world ultimately will have a single currency; the internet will have a single currency. I personally believe that it will be Bitcoin.” That same year Square integrated Bitcoin.
In 2019 Dorsey revealed that he spent $10k a week on the leading cryptocurrency through his Square account.
Further indication of his appreciation for the innovation pioneered by cryptocurrencies can be found in his December announcement of Bluesky a new research team which will develop open and decentralised technical standards for social media platforms.
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