Popular mobile payment company Cash App has announced that its users can now send and receive Bitcoin for free.
While announcing on Twitter, the Cash App team announced a $1 million giveaway in Bitcoin.
The launch is another major win for Bitcoin. Cash App has over 30 million users, who will now have access to use Bitcoin. Furthermore, with rising Bitcoin transaction fees, the app’s feeless solution can be viewed as an important Layer 2 scaling solution for Bitcoin. Moving forward, users can now seamlessly send Bitcoin to family and friends or use the digital asset to pay for goods and services via Cash App.
It is worth pointing out that transactions happen within the app’s centralized database, as opposed to being on the actual Bitcoin blockchain.
The competition is stiff
Cash App’s recent rollout may be in response to Binance Pay, a crypto payments app that went live on public alpha a few days ago. Several traditional payment processors have hinted at supporting Bitcoin. Late last year, PayPal introduced a range of cryptocurrency services, which allows its customers to buy, sell, and store Bitcoin. This service has since been extended to UK residents. Financial behemoths like Mastercard and Visa have also mulled over supporting Bitcoin.