GameStop Buys $500 Million in Bitcoin in First Major Crypto
A general view of a Game Stop store on September 15, 2022 in Levittown, New York, United States.

GameStop has taken its first major step into the world of cryptocurrency. On Wednesday, the video game retailer announced it purchased 4,710 bitcoins, spending more than $500 million.

The move marks a new chapter for the company, which has been working to shift its focus and stay competitive.

GameStop bought approximately $512.6 million worth of Bitcoin when the cryptocurrency was trading at around $108,837.

This is GameStop's first venture into buying cryptocurrency. The company had already shared its plans in March, when its board agreed to use some of its money to invest in bitcoin.

CEO Ryan Cohen, also known as the co-founder of Chewy, shared the reason behind the move in a video at the Bitcoin 2025 Conference in Las Vegas, CBS News said.

He said the Bitcoin investment could help safeguard the company from financial risks.

"Bitcoin has certain unique advantages compared to gold, the portability aspect of it," Cohen said. "It's instantly transferable across the globe. It's instantly verified via the blockchain... there's the scarcity element of it as well."

GameStop Joins Crypto Race, Says Strategy Is Unique

Cohen made it clear that this strategy is unique to GameStop. "GameStop is following GameStop's strategy. We're not following anyone else's strategy," he said.

According to CNBC, GameStop's decision follows similar moves by other big names. MicroStrategy, now renamed Strategy, has become the largest corporate bitcoin holder after buying large amounts over the past few years.

This trend is growing as more companies turn to bitcoin as a backup plan for global economic changes.

GameStop is also not the only one jumping into crypto recently. Just one day earlier, Trump Media and Technology Group announced plans to raise $2.5 billion to invest in bitcoin.

Bitcoin prices have been rising since Donald Trump was re-elected in November, with some leaders in his administration showing support for digital currencies.

Even though GameStop's stock dropped nearly 11% on Wednesday, the company still has a strong cash reserve of $4.76 billion. With this latest investment, GameStop is hoping to stay ahead and find new ways to grow.

Originally published on vcpost.com

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