On March 25, 2025, GameStop Corp. (NYSE: GME) announced that its board of directors unanimously approved an update to its investment policy, allowing the company to include Bitcoin as a treasury reserve asset. This decision enables GameStop to invest a portion of its cash reserves, or funds from future debt and equity issuances, into Bitcoin and U.S. dollar-denominated stablecoins. As of February 1, 2025, the company reported holding approximately $4.76 billion in cash and cash equivalents, though it has not specified a maximum amount of Bitcoin it intends to purchase or a timeline for when it will begin acquiring the cryptocurrency.
This move follows a trend set by companies like MicroStrategy (now known as Strategy), which has become the largest corporate holder of Bitcoin, amassing over 506,000 BTC. GameStop’s CEO, Ryan Cohen, had hinted at this strategy earlier in February 2025 when he met with Strategy’s Michael Saylor, sparking speculation about the retailer’s interest in cryptocurrency. The announcement coincided with GameStop’s Q4 2024 earnings report, which showed a net income of $131.3 million—up from $63.1 million the previous year—despite a decline in net sales from $1.794 billion to $1.283 billion year-over-year.
The decision has been met with enthusiasm from some investors, with GameStop’s stock rising over 6% in after-hours trading following the news. However, the company acknowledged the risks, noting Bitcoin’s historical price volatility and the untested nature of this strategy for its business. While no specific purchase amount has been confirmed, posts on X and various reports suggest speculation that GameStop could allocate a significant portion of its cash reserves, potentially over $1 billion, to Bitcoin, though this remains unverified as of now.
