In This Article:
Investing.com - GameStop (NYSE:GME) is mulling over potential investments into Bitcoin and other cryptocurrencies, as well as other alternative asset classes, according to CNBC. Shares in GameStop were more than 6% higher in premarket U.S. trading on Friday, after having spiked by as much as 20% in extended hours trading following the report. Citing sources familiar with the matter, the business news channel said GameStop -- the video game retailer who became the figurehead of a surge in interest in so-called meme stocks in 2021 -- is still in the process of determining if the move is right for the company. GameStop could still choose not to go ahead with the investments, CNBC noted. It added that Michael Saylor, Chairman of major corporate Bitcoin holder Strategy who was pictured in a social media post by GameStop CEO Ryan Cohen last weekend, is not involved in the discussions at this time. Strategy -- formerly known as MicroStrategy -- first began snapping up Bitcoin in 2020 to offset weakness at its software division, and has since become one of the leading beneficiaries of the token's notoriety. Previously, GameStop released crypto wallets in 2022 which allowed users to manage their digital assets and other nonfungible tokens, although it shuttered the service in 2023. During Cohen's tenure at the helm of GameStop, the business, which has long been known for its brick-and-mortar locations, has moved to address a shift in gamer consumption habits to more digital sources and away from physical locations. Since his appointment, the firm has slashed costs and accumulated funds in order to reinvest it. Cohen, as well as two independent board members, were given permission by GameStop's board in late 2023 to oversee the group's portfolio of securities investments. (Luke Juricic contributed reporting.)
Related Articles
GameStop shares surge as company considers crypto investments - CNBC
European stocks most lower after strong week; Hermes shines
Eutelsat Communications shares sink 15% after lowering FY25 capex forecast