GameStop CEO Cohen Reveals Bitcoin Strategy Amidst $512 Million Investment

GameStop CEO Ryan Cohen discussed the company's Bitcoin strategy on Tuesday, emphasizing that the firm will not follow the same path as other treasury companies like Michael Saylor's Strategy. Cohen highlighted that GameStop will pursue its own unique strategy, leveraging its strong balance sheet with over $9 billion in cash and marketable securities.

Cohen explained that GameStop's investment of just over $500 million in Bitcoin is seen as a hedge against inflation and global money printing. The firm created its Bitcoin treasury in May, purchasing 4,710 BTC worth around $512 million. This move was sparked by rumors after Cohen was photographed with Michael Saylor in March.

GameStop recently boosted its latest fundraise to $2.7 billion, which could be used to buy more BTC as part of its investment strategy. However, the firm's future Bitcoin plans remain uncertain, and Cohen did not provide specific details. He stated that the company will deploy capital responsibly, seeking opportunities with limited downside and significant upside.

GameStop has also explored other connections to blockchain, managing an NFT marketplace and developing its own crypto wallet. These endeavors were discontinued due to regulatory uncertainty in the U.S. between late 2023 and early 2024. Moving forward, GameStop might expand its crypto embrace by accepting crypto payments for the sale of trading cards.

Cohen mentioned that there is an opportunity to buy trading cards using cryptocurrency and that the firm will consider all cryptocurrencies for this purpose. He also noted that the demand for such a product will determine the extent of this initiative.