\
The circle equation is
.
Rewrite the equation as
.
Compare it with circle equation
.
.
Diameter of circle
.
\
Let the side of square be
.
In this case the squares diagonal is diameter of the circle.
\The diagonals of a square bisects each other and the diagonals split the square into two right angle triangles.
\Diameter of circle is hypotenuse of the triangles.
\From the Pythagorean theorem
. 


.
\
Area of the square
.
Substitute
in
.

.
Area of the square is
square units.