I totally agree that most news sites do a poor job of verifying information before parroting information, but several sites are quoting a statement from Square that seems to verify this (e.g. http://www.latimes.com/business/technology/la-fi-tn-square-e...)
That tells us nothing, except that TC copy and pasted some content off a blog. Unless they're quoting an email from Square or Keith that at least confirms its his blog (they are not), then it's perfectly reasonable to be skeptical here.
There are many tweets at https://twitter.com/rabois that seem to indirectly acknowledge authorship of "the message". People sent him tweets of encouragement based on this article, and he is replying with a variation of "thanks" to many of them.
Anyone could have registered that tumblr, and it has no other content.
Please leave tabloid gossip to the tabloids until real information is available - and then leave it off HN.