Square Deploys Bitcoin Lightning to 4M U.S. Merchants
Block's Square payment processor automatically activated Bitcoin Lightning acceptance across its 4 million U.S. merchant base this week, waiving all processing fees through the end of 2026.
Key Takeaway
Square just turned 4 million merchants into Bitcoin acceptance points overnight without asking permission.
Block Head of Bitcoin Product Miles Suter confirmed on X that Square began automatically deploying Lightning Network payment acceptance to eligible merchants Monday. The rollout covers 78% of Square's U.S. merchant base.
Square is waiving processing fees entirely through the end of 2026. The move eliminates one of the biggest friction points for merchants considering Bitcoin acceptance, since traditional card processing typically costs 2-3% per transaction.
Suter said the company is making it easier for millions of businesses to accept bitcoin, describing this as how bitcoin as everyday money begins. Lightspark CEO David Marcus, who previously ran PayPal, called the integration a potential TCP/IP moment for global financial infrastructure.
Block's Cash App already processes one in four Bitcoin payments over Lightning, giving the company operational experience with the Layer 2 protocol. Lightning delivers sub-second settlements with fees as low as 0%, according to Voltage CEO Graham Krizek.
Average Lightning transactions reached ₱13,554 ($223) in November 2025, River Financial analysts observed, reflecting a shift to larger transfers that makes the network more practical for merchant use. Coinbase now ranks Lightning as the number two option for Bitcoin send and receive, with Square's automatic deployment running through the end of 2026.
This article was written based on reporting from U.Today.
