Square has announced plans for a new point-of-sale dongle that will read chip cards, ahead of the US move to the more secure technology over the coming year.

Currently, the firm’s card reader only works with traditional credit and debit cards featuring a magistripe which are swiped.

Square is getting in line with a US proposal to introduce chip cards by October 2015 (although they will still carry a stripe on the back for swiping if necessary).

However, its new card reader is not immediately available. The release said it will be “available later this year for pre-order”. The firm told Re/code early next year is the expected launch date.

No news either on pricing, although the new card reader will be “affordable,” said Square.

The proposal for a chip-based reader should in theory mean Square could offer its new device in Europe. However, the new reader will still need a user’s signature to authenticate a transaction. In Europe, the chip-and-PIN combination is used.