28-5-2025 – GameStop, the embattled gaming retailer, has boldly ventured into the cryptocurrency arena, securing 4,710 Bitcoins in a landmark acquisition announced on its official X account on May 28. Valued at approximately $512 million with Bitcoin priced around $108,800, this move catapults GameStop into the league of prominent corporate Bitcoin holders, alongside titans like MicroStrategy and Tesla. While the company’s SEC filing omitted the precise cost of the purchase, it marks a decisive pivot from its traditional video game roots.
GameStop has purchased 4,710 Bitcoin. pic.twitter.com/gGdr0BRrAv
— GameStop (@gamestop) May 28, 2025
The cryptocurrency community has greeted GameStop’s foray with enthusiasm, viewing it as a potent signal of growing corporate embrace of digital assets. Crypto commentator Tommy T hailed the acquisition as more than a transaction—a defiant statement from retail investors once derided as “dumb money.” He argues this shift underscores a broader rewriting of financial rules, with retail players outmanoeuvring traditional hedge funds. Yet, caution lingers among sceptics, who await clarity on whether GameStop will deepen its Bitcoin commitment or if this represents a one-off experiment to deploy its cash reserves creatively.
This audacious step was made possible by a $1.5 billion capital raise in April through the sale of convertible notes, due in 2030 and bearing no interest. Investor appetite was so strong that GameStop secured an additional $200 million. The company explicitly stated in regulatory filings that these funds would fuel its Bitcoin purchase, reflecting a strategic bid to diversify from its faltering core business. GameStop’s prior ventures into NFTs and its own crypto wallet hint at a broader ambition to carve a niche in the digital economy. While the announcement sparked a modest uptick in Bitcoin’s price and buoyed sentiment, the retailer’s long-term crypto strategy remains under scrutiny.
Meanwhile, GameStop’s CEO, Ryan Cohen, finds himself entangled in legal woes. A lawsuit alleges that Cohen and his firm, RC Ventures, pocketed $47.2 million through “short-swing” trades in Bed Bath & Beyond shares just before the retailer’s bankruptcy. The case could compel Cohen to relinquish those profits. Nonetheless, GameStop’s $512 million Bitcoin wager underscores its resolve to embrace digital innovation, potentially marking a pivotal chapter in its quest for reinvention.
