Bitcoin investments by institutions are no longer a new thing. Ever since last year, companies have been investing large sums into the popular cryptocurrency. And now, when its price keeps going higher, investors show more interest. Several days after the news of Tesla buying Bitcoin worth $1.5 billion, Square and MicroStrategy decided to increase their investments.
According to MarketWatch, Square has recently purchased Bitcoin worth $170 million. The company’s revenues and the number of users of their Cash App increased amidst the interest of the public in cryptocurrency and equities trading.
Square bought Bitcoin previously in October 2020. According to the press release, back then, the company purchased about 4,709 Bitcoins, which were worth about $50 million. With the current purchase of about 3,318 Bitcoins, around 5% of Square’s cash, its equivalents, and securities are represented by the cryptocurrency, as per MarketWatch.
MicroStrategy purchased additional 19,452 Bitcoins worth about $1.026 billion, according to a press release. The size of this single cryptocurrency investment so far is only second to Tesla’s $1.5 billion purchase. The new investment brings the company’s cryptocurrency assets to about 90,531 BTC. The CEO, Michael J. Saylor, said that MicroStrategy would continue to use excess cash to purchase more Bitcoin, as per the press release.