JPMorgan Analysts Confident of More Companies Enabling Square-Like Bitcoin Purchase Feature
More companies are expected to join the bitcoin (BTC) bandwagon.
JPMorgan Bullish on Bitcoin
Banking titan JPMorgan expects more companies to follow Square’s Cash App by introducing support for payments in the premier cryptocurrency.
Several analysts at JPMorgan are hopeful that numerous payment companies will enable their clients to buy BTC via their apps, akin to Square’s Cash App.
Further, JPMorgan added that they view Square’s recent $50 million worth of BTC purchase as a “strong vote of confidence.”
In a recent research note, JPMorgan strategists led by Nikolas Panigirtzoglou opined that Square’s Cash App, which added the BTC trading feature in 2018 overtook the Grayscale Bitcoin Trust as the preferred medium for purchasing bitcoin for U.S. millennials in Q2 2020.
Taking cue from the app’s enviable popularity, strategists at JPMorgan believe “other payment companies to follow in facilitating client bitcoin investments or risk being left behind.”
It’s worthy of note that a plethora of companies are readily warming up to the prospect of having substantial bitcoin holdings on their balance sheet.
As previously reported by BTCManager, leading online payments giant PayPal had announced that it was working on integrating cryptocurrencies to its platform.
Further, in August this year, Nasdaq-listed public company MicroStrategy announced that it had bought Bitcoin worth about $250 million at the time. At the time, MicroStrategy CEO, Michael Saylor, noted:
“This investment reflects our belief that Bitcoin, as the world’s most widely-adopted cryptocurrency, is a dependable store of value and an attractive investment asset with more long-term appreciation potential than holding cash. Since its inception over a decade ago, Bitcoin has emerged as a significant addition to the global financial system, with characteristics that are useful to both individuals and institutions.”
More recently, Twitter CEO Jack Dorsey’s Square Cash App announced that it had directly invested in bitcoin following MicroStrategy’s $425 million BTC acquisition in September.
Bitcoin Coming of Age
Indeed, the top cryptocurrency is enjoying a vote of confidence among major firms as noted by strategists at JPMorgan.
As recently reported by BTCManager, currently, 600,000 BTC worth $6.75 billion is held by public companies, including the likes of MicroStrategy, Square, Grayscale Investment, and others.