Twitter founder Jack Dorsey has confirmed that his new mobile payments venture Square has raised $27.5 million in a funding round led by Sequoia Capital.
Memories of the ecommerce bubble bursting again? Putting more money into a business that is based on a gimmicky bit of plastic, that does not read chip cards and cannot accept cards from outside of the US at a time when the "Durbin Amendment" looks set to
reduce debit card interchange in the US by over 70% looks pretty dumb to me. The basic pricing is also very expensive - and extra 1% is charged if the card number is keyed rather than swiped. Oh yes and as with PayPal, Square hold on to merchant funds for
days and days. Only in America!
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