GameStop Buys $512M in Bitcoin, Joins Crypto Elite

GameStop has officially entered the Bitcoin game with a splash, acquiring 4,710 BTC in its first-ever crypto purchase. The announcement, made via the company’s official X account on May 28, positions the gaming retailer as one of the more prominent public holders of Bitcoin, joining the ranks of MicroStrategy and Tesla. With Bitcoin trading around $108,800 at the time, GameStop’s holdings are valued at roughly $512 million. However, the company didn’t reveal the exact purchase price in its SEC filing.

Backed by $1.5B in Convertible Notes

GameStop was able to buy Bitcoin because, back in April, it raised $1.5 billion by selling a special kind of IOU to investors. These IOUs don’t pay any interest and are due to be paid back in 2030. Investors were so interested that GameStop even raised an extra $200 million. The company clearly said in official filings that this money would be used to buy Bitcoin.

This big crypto move shows that GameStop is trying to branch out from its struggling video game business. The company had already tried its hand at NFTs and launched its crypto wallet before. While the news boosted positive vibes around Bitcoin and slightly pushed its price up, no one knows yet if GameStop plans to keep buying more BTC or if this was just a one-time splash to try something new with its cash.

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Crypto Community Reacts

GameStop’s entry into crypto has been welcomed by many in the digital asset space, with some seeing it as a bullish signal for broader corporate adoption. Crypto user Tommy T calls GameStop’s 4,710 BTC buy more than just a purchase; it’s a power move. Once mocked as “dumb money,” retail investors are now outsmarting hedge funds. He says the game is changing, and retail isn’t just playing, it’s rewriting the rules. Still, skeptics remain cautious, waiting to see how the company integrates Bitcoin into its future roadmap amid ongoing retail challenges.

CEO in Legal Scoop?

Additionally, GameStop’s CEO, Ryan Cohen, is currently facing a lawsuit over $47.2 million he earned from trading Bed Bath & Beyond shares just before the company went bankrupt. The case claims that Cohen and his firm, RC Ventures, may have made “short-swing” trades, which could force them to return those profits. Either way, GameStop’s $512M Bitcoin buy cements its commitment to digital innovation and could be a peak moment in its ongoing reinvention.

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