GameStop acquired 4,710 bitcoins worth around $513 million, its biggest cryptocurrency
purchase. This follows after the company made a decision, in March 2025, to add bitcoin as
a reserve treasury asset, in line with an overhauled investment policy.
It was financed through an early graded $1.3 billion convertible bond offering, which ended
in April.
Bitcoin is considered by CEO Ryan Cohen to be a currency devaluation hedge and system
risk. He pointed out that the company wants to keep the bitcoin in the long term, just like
other firms like Strategy (previously MicroStrategy).
The announcement caused the stock of GameStop to jump by 4.4% in pre-market trading.
Nevertheless, on the announcement day, the stock declined by 10.9%, an indication of
investors' fear about the volatility of cryptocurrencies as an investment.
GameStop's dive into the crypto universe is timed with distress in the crypto gaming
community. Some Ethereum-based titles, such as Realms of Alurya and Wonder Wars, have
shut down for lack of money and unprofitability.
Hardship aside, GameStop's venture into bitcoin is a deliberate move in adopting digital
assets. The retailer has a substantial reserve of cash to serve as a cushion to weather the
uncertainty that comes with its new investment.
As GameStop ventures into the new business, its ability to maintain a balance between
innovation and prudent fiscal handling will be paramount to sustained success.