Square’s Bitcoin investment plan – a unanimous decision passed by the Board of Directors of Square Inc. which each member would never ever regret but would feel proud of being part of it.
Square Inc. is one of those entities from the institutional quarters which gladly took the risk of investing in Bitcoin. However, neither the company’s board nor its officials regret their decision which they made at the perfect time.
It was in the month of October last year when the Board of Directors of Square Inc. sat together and discussed the Bitcoin investment plan. It was reported at that time that the issue was debated for hours and finally a unanimous decision was arrived at. It was decided by the Board of Directors of Square Inc. that they will use a small portion of their reserve for investing in Bitcoin.
The minutes of the meeting of Square Inc. revealed that the Board decided to inject US$ 50 Million for purchasing Bitcoins.
Since the money was injected, surprisingly the value of Bitcoin has increased manifold. It has in fact surged by more than 300%. What is more astonishing for Square Inc. is that its return on a 50 million dollar investment is 5 times more than what was actually invested.
For instance, the investment was US$ 50 Million and as of today’s Bitcoin rate, the profit on investment is approximately US$ 203 Million. The Bitcoins on that day purchased by Square Inc. for an amount of US$ 50 Million are valued today at US$ 250 Million. This of course isn’t a decision which the company would ever regret. It was reported that Square Inc. bought a total of 4,709 Bitcoin.
Of course Square Inc. was moved by Microstrategy who on several occasions in 2021 put big stacks of money into Bitcoin. When Square Inc. became one of Bitcoin investors thereafter Tesla too was found intending to bring Bitcoin into portfolio. Within this month, Tesla finally revealed that it too had invested in Bitcoin. It was announced by Elon Musk, CEO of Tesla, that the company had injected a total of US$ 1.5 Billion.
Without a doubt all these three companies are on the profit earning sides. The investment of each company has soared amazingly. For instance, when Tesla puts the money on the table, each Bitcoin can be purchased at US$ 33,000. Yet as of today, Bitcoin value is hovering above US$ 50,000. This simply means that Tesla would be earning US$ 17,000 against each Bitcoin which it had bought for a total of US$ 1.5 Billion.
It is widely believed within the digital asset community that Bitcoin’s value will be around US$ 100 K before the end of the present year. According to some it will be traded above US$ 150 K in 2023.