Square Inc., Sq.
Tuesday said the share of transactions made in cash was 33.3% on August 33, compared to 40.6% at the same time a year ago. Using 2019 as a baseline indicator, the payment processing company estimates that as the COVID-19 epidemic has resulted in a decline in cash usage, it would take three years without the epidemic. In February, before declaring COVID-19 an epidemic, Square sellers were 5.4% cashless. This percentage rose to 23.2% by April before indicating signs of stabilizing at 13.4% by August and declining. “These new findings indicate a significant and steady increase in cashless adoption rates compared to prior epidemics, in which business owners are increasing contactless and reliance on online payments,” said Square economist Felipe Chacon. “This indicates that COVID-19 is already there which will likely have a lasting effect on consumer behavior.” Square’s stock rose 1.8% in primary trading, more than double (130.8%) the SP P500 SPX on Monday and Monday.
An increase of 4.7%.