Square Announces Bitcoin Hardware Wallet

Square, a digital payments company, has announced the development of a Bitcoin hardware wallet to enable users to manage their digital assets more easily.

Square is committed to making Bitcoin custody more mainstream

 

Previously, Jack Dorsey, CEO of Square (formerly CEO of Twitter), tweeted in June that Square was considering building a hardware wallet. Last month, Jack Dorsey provided an update, announcing that "they will build a hardware wallet and services to make Bitcoin custody more mainstream."

Dorsey further added that these feedbacks led Square to decide to create a globally distributed wallet that is easy to use on mobile, as well as a multi-signature wallet focused on security and comprehensiveness as described by Dorsey in June.

Square will become a key player in the hardware wallet industry

 

Image source: Tech billionaire Jack Dorsey shrugs off Brexit fears at UK launch of his payment service Square

 

Currently, the most widely used hardware wallets are products from Ledger. Other brands in the hardware wallet industry include Shapeshift, Trezor, and Coin Kite. The hardware wallet industry, which was valued at $202.40 million in 2020, is expected to grow by 26% between 2021 and 2026.

Another report from 2019 indicates even greater growth, estimating the hardware wallet market to reach $3 billion by 2026. With 30 million monthly active users of Square's services, it seems Square can become a significant competitor in the hardware wallet industry.

In non-custodial wallets, such as the one Square plans to build, users can manage their private keys independently. These private keys allow users to control their cryptocurrencies and prove ownership of their assets. With custodial wallets, a third party controls the private keys for the users. Currently, Dorsey and his team are soliciting feedback on how to design and develop the wallet.

Square already plays a role in the crypto space. The company's Cash App allows users to buy BTC, and Square itself holds Bitcoin on its balance sheet.

Reference:

Square announces to make hardware wallet for Bitcoin

Square could launch a hardware wallet for Bitcoin