GameStop Eyes Bitcoin: Stock Surges Amid Crypto Consideration

GameStop, the renowned video game retailer, is reportedly considering an investment in Bitcoin and other cryptocurrencies, according to sources familiar with the matter. The company is currently evaluating whether this strategic move aligns with its business objectives and has not yet made a final decision.

In response to this news, GameStop's stock price surged by approximately 20% during after-hours trading. This development comes amidst a backdrop of increasing interest in cryptocurrencies and blockchain technology within the gaming industry.

Over the weekend, GameStop CEO Ryan Cohen shared a photo with MicroStrategy chairman Michael Saylor on the X platform. However, sources indicate that Saylor was not involved in GameStop's crypto investment discussions. In 2022, GameStop launched a crypto wallet but later closed it in 2023 due to regulatory uncertainty.

GameStop currently holds a cash reserve of $4.6 billion and has approved a new investment policy to support potential investments. The company's exploration of cryptocurrency investments is part of a broader trend of traditional retailers embracing digital assets and blockchain technology to enhance their offerings and tap into new markets.