Tag: square

Mobile payments firm embraces Bitcoin

| April 4, 2014

Square has announced its support for Bitcoin payments through the Square Market platform

Last week, the U.S. Internal Revenue Service classified Bitcoin as a property subject to tax regulation. This sent ripples through the Bitcoin community, largely due to the fact that the digital currency has existed without any significant regulation for the majority of its existence. Now, popular payments processor Square has announced that merchants using its Square Market platform will be able to accept Bitcoin payments. Square is currently only of the most prolific organizations in the mobile commerce space and one of the few that has shown any serious support for Bitcoin.

Fees on Bitcoin payments through the Square Market have not yet been announced

Using the Square Market, a merchant can list items on their websites and pay Square a 2.75% fee on every sale. Square has not yet announced whether or not any kind of fee will be tied to sales made using Bitcoin. Embracing Bitcoin may make Square significantly more popular among the digital currency’s legion of supporters. This popularity is also likely to extend to retailers accepting Bitcoin payments through the Square market.

Square continues to show dominance in the mobile commerce space through its powerful partnerships

Mobile Payments - BitcoinIn 2013, Square processed more than $20 billion in mobile payments. The company has established a strong foothold in the mobile commerce space through its partnerships with companies like Starbucks that have a strong interest in engaging mobile consumers. As people become more mobile-centric, they are beginning to use their smartphones to shop for and purchase products more regularly. Many of those participating in the mobile commerce space have shown interest in Bitcoin and other types of digital currency.

Accepting Bitcoin may have a positive impact on Square’s forthcoming IPO

Square has plans to launch an initial public offering (IPO) within the coming months. The Square Market is currently valued at over $5 billion ahead of this IPO and its acceptance of Bitcoin may have a positive impact on that valuation. Bitcoin does have detractors, however, many of whom criticize the unregulated nature of the digital currency and its attraction to hackers.

Starbucks launches new mobile payments application

| March 31, 2014

New application could be a step toward Starbucks expanding the availability of its mobile commerce technology

Starbucks has released a new application for the iOS platform that could serve as a stepping stone for the company’s future mobile commerce endeavors. The company has become a major player in the mobile commerce sector thanks to its partnership with payments processor Square. Currently, Starbucks in the mobile commerce space are restricted to its family of stores, but the company does have plans to expand beyond its own stores in the future, possibly licensing off its mobile payments technology.

App allows users to tip baristas from their mobile device

The application allows consumers to tip their baristas at Starbucks stores from a mobile device. The app is meant to work alongside Starbucks’ existing mobile commerce services, allowing consumers more flexibility in the way they interact with the company and its employees. According to Starbucks, approximately 14% of all of its in-store transactions now come from mobile devices. The company has been quick to praise mobile commerce and has begun taking steps to help other organizations embrace the mobile sector more effectively.

Security continues to be an issue for many consumers

Mobile Payments - StarbucksWhile Starbucks have found significant success in its mobile commerce efforts, many consumers are still wary of the concept of mobile payments. There are security issues that exist in the mobile field that have yet to be adequately addressed by companies participating therein. The security of financial information is a priority for many consumers, and the lack of security that many mobile commerce platforms offer has become a problematic issue for consumers.

Starbucks could help assuage security issues in the mobile commerce field with its mobile payments technology

Starbucks has managed to provide a service that consumers feel comfortable with using. The company may be able to help address some of the security issues that exist in the mobile commerce field by making its own mobile payments technology more available to other companies. Starbucks currently has tentative plans to license out its technology, but exactly when this will happen is unclear at this time.