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A general view of the Gamestop logo in one of its stores in the center of the city of Colonia, Germany.
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The video game retailer turned into a meme stock Gamestop He is considering investing in Bitcoin and other cryptocurrencies, according to sources familiar with the matter.
Gamestop is exploring investments in classes of alternative assets, including Crypto and Bitcoin in particular, three sources said. Gamestop’s actions shot up to 20% in the extended trade after the news.
The retailer could decide not to move forward with investments. The company is still in the process of finding out if this makes sense to the Gamestop business, according to a source.
Last weekend, CEO Ryan Cohen Published a photo on the social media site X with Michael Saylorco -founder and president of MicrostrategyThe largest corporate head of Bitcoin. However, Saylor does not participate in Gamestop’s discussion about cryptography investments at this time, two of the sources said.
In 2022, Gamestop launched cryptographic wallets that allow users to administer their cryptographic and non -fungible tokens. However, the company closed the service in 2023, citing “regulatory uncertainty.”
Cohen, co -founder of Chewy, bought shares at Gamestop in 2020 and joined the Board in 2021 when Gamestop became one of the key actions of memes in the commercial mania. His electronic commerce experience fed the hopes of helping to modernize the brick and mortar retailer, but the company is still struggling to adapt to changing spending habits by the players.
Under Cohen’s leadership, Gamestop has focused on reducing costs and optimizing operations to ensure that the business is profitable even though it is not growing. As of November 2, the company had accumulated a cash stack of $ 4.6 billion and has been using those funds for investments, according to a December securities presentation.
The companies that consider add Bitcoin to their general balance would be following in the footsteps of Microstrategy. This company, recently renamed the strategy, has bought billions of dollars in Bitcoin in recent years, effectively transforming a software stock to a Bitcoin vehicle.
The decision has helped feed a rapid, although volatile increase, for the actions of the strategy.
In December 2023, the Gamestop Board approved a new “investment policy.” It allows Cohen, plus two members of the independent Board and another necessary personnel, administer the Gamestop Securities Investment portfolio. These investments have to adjust to the patterns of the policy, or be approved by the Committee by unanimous vote or the Complete Board by majority vote.
