GameStop is reportedly exploring alternative asset classes, including Bitcoin, as part of its ongoing strategy to pivot into new business areas. Shares of the company surged as much as 20% in extended trading, fueled by speculation about its potential return to the digital asset market. However, sources close to the company note that GameStop has yet to make a final decision on whether Bitcoin investments align with its long-term goals.
GameStop’s previous foray into the crypto space came in 2022 when the company launched digital wallets, allowing users to store and manage cryptocurrencies and non-fungible tokens (NFTs). Despite initial enthusiasm, GameStop discontinued the service in 2023 due to regulatory uncertainty. The company is now reconsidering its stance on digital assets, with renewed interest sparked by CEO Ryan Cohen’s recent social media post featuring MicroStrategy’s Michael Saylor, a prominent figure in Bitcoin acquisition.
MicroStrategy is known for its aggressive Bitcoin investment strategy, having raised billions of dollars through stock and bond sales to expand its Bitcoin holdings. GameStop’s interaction with Saylor could signal a potential shift in its approach to digital assets, especially with the current bullish sentiment surrounding Bitcoin, which is trading at $96,761.33, up 0.75% over the past 24 hours.
The retailer, which has struggled to adjust to evolving consumer habits, has been under intense scrutiny following Ryan Cohen’s appointment to the board in 2021. Cohen, best known for co-founding Chewy, is seen as a key figure in GameStop’s attempt to modernize its operations and embrace new revenue streams. GameStop’s involvement in the meme stock movement, particularly during the WallStreetBets trading frenzy of 2021, has kept the company in the spotlight.
Also Read: Bitcoin’s Path to $125K: 44% Chance of Reaching $125K by June, Experts Predict
As GameStop continues to evaluate its future direction, the cryptocurrency market and Bitcoin’s performance will remain a focal point for investors and analysts alike.
Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of Chain Affairs. Before making any investment decisions, you should always conduct your own research. Chain Affairs is not responsible for any financial losses.
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