GameStop Adopts Bitcoin Treasury Strategy

GameStop (GME) has joined the growing list of public companies embracing a bitcoin treasury strategy.

Earnings Report and Board Approval

In its fourth quarter earnings report, GameStop announced that its board has unanimously approved the addition of bitcoin as a treasury reserve asset.

CEO’s Engagements

CEO Ryan Cohen stirred interest in early February when he shared a photo with Michael Saylor, Executive Chairman of MicroStrategy (MSTR), at Donald Trump’s Mar-a-Lago.

Call for Bitcoin Investment

Shortly after, Matt Cole, CEO of Strive Asset Management, wrote to Cohen, encouraging GME to utilize part of its $5 billion cash reserves to invest in bitcoin. Strive, co-founded by Vivek Ramaswamy, is a stakeholder in GME via its ETFs.

Cole stated, “We believe GameStop has an incredible opportunity to transform its financial future by becoming the premier bitcoin treasury company in the gaming sector.”

Cohen acknowledged the letter by tweeting, “Letter received.”

Market Response

After this news, GME shares increased by 5.7% in after-hours trading, while bitcoin prices rose to $88,500.