Square joins Paycheck Protection Program in a bid to help the U.S. small businesses secure stimulus payments. Square, the world-famous crypto-friendly firm, will be part of the Paycheck Protection Program launched by the U.S. government in response to the COVID-19 pandemic. Square is well known for its love of Bitcoin, cryptocurrencies, and blockchain technology.
3/4 We know sellers need financial support now more than ever, and we’re committed to making funding accessible to as many small businesses as possible.
— Jackie Reses (@jackiereses) April 13, 2020
The economic upheaval caused by the Coronavirus has led many governments to launch bailout programs. The U.S. government followed suit, and Congress passed an impressive $2.3 Trillion stimulus package to support the economy. The Paycheck Protection Program comprises $350 Billion in aid for small businesses that need to pay two months’ salaries to their employees immediately and its part of the overall stimulus package.
Square joins Paycheck Protection Program to perform lending functions
Other notable brands included in the Paycheck Protection Program are Inuit and PayPal. Jackie Reses of Square Capital said that the company will collaborate with Celtic Bank of Salt Lake City to bring out the lending program. Sellers will be notified by Square once their application is live on Square Dashboard. Square will begin by automatically verifying the employers at their end, and such applications will be first in line to receive the benefits.
As Square joins Paycheck Protection Program, Jack Dorsey, the founder of Square, took to Twitter to announce that Cash App provides routing numbers. Thus, if an employer hasn’t filed tax returns, they can receive payment checks. The same feature has made Square popular among employers. It allows Square to accept direct deposits without any linked bank account.
Square looks set to wade through COVID-19 crisis
Square hasn’t yet released its revenue numbers for the first quarter of 2020. It is widely believed that the Cash App had earned good revenue from BTC speculative trading last month. BTC sales amounted to around half of the total revenue of the company in the previous quarter earnings in 2019. Jack Dorsey even went on to say that he wants BTC to grow up to be a currency.
Back in January, the Square Crypto Team also launched a Lightning development toolkit. As Square joins Paycheck Protection Program, it remains to be seen how the fintech giant responds to the Coronavirus crisis.