The value of Square's $50 million investment in the benchmark cryptocurrency has soared.
Jack Dorsey's company, which in October 2020 made a $50M investment in Bitcoin (4,709 Bitcoins), has made spectacular revenue thanks to the sharp increase in the price of the cryptocurrency.
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As a result, that $50 million, about 1% of the company's assets at the time the investment was made, has now become $253 million, so the investment has multiplied in value by 5 times.
Square was one of the first major companies to venture into Bitcoin investment along with MicroStrategy. More recently it has been known that US electric vehicle maker Tesla has also put $1.5B in the cryptocurrency.
Analysts estimate Square will make $1.5B in revenue thanks to its investment in Bitcoin, however, these estimates may not be entirely accurate, as the volatility of the cryptocurrency market is really high and unpredictable.