GameStop Splashes Half A Billion Dollars On Bitcoin In Ultra Bullish Crypto Push

Video game retailer GameStop has scooped up Bitcoin worth approximately $513 million at the time of writing. Despite being already flush with cash, the company offered debt in March to raise the funds for BTC acquisitions in a strategic shift to include crypto in its financial strategy.

GameStop Acquires 4,710 Bitcoin

According to a Form 8-K filing, the Grapevine, Texas-headquartered firm purchased 4,710 BTC after completing a $1.5 billion convertible notes offering in early April.

The Bitcoin investment follows GameStop’s move to diversify its balance sheet. Rumors about GameStop’s interest in Bitcoin began to circulate in February after GameStop CEO Ryan Cohen posted an uncaptioned photo of himself with Michael Saylor, Strategy Executive Chairman and a vocal advocate for corporate Bitcoin treasury reserves.

The rumors intensified days later after a CNBC report days later revealed that the favorite meme stock of the pandemic era was considering investments in alternative assets, including BTC. 

Then, in March, the company’s board unanimously greenlit a plan to adopt the benchmark crypto as a treasury reserve asset.

Following The Strategy Bitcoin Playbook

Saylor’s Strategy has issued billions of dollars of convertible senior notes, raising capital to purchase more Bitcoin than it could otherwise.

GameStop now joins a slew of other companies like Tokyo-listed Metaplanet that have added Bitcoin to their balance sheet in a playbook popularized by Strategy. According to data from BitcoinTreasuries.net, over 210 firms worldwide hold BTC, with Strategy remaining the largest corporate holder of the apex crypto.

At press time, Strategy holds 580,250 BTC, or just over $45 billion worth, since it began buying Bitcoin in 2020. The company now holds nearly 3% of Bitcoin’s total supply.