GameStop the struggling video game retailer best known for becoming a meme stock back in 2021 is taking a bold leap into the world of crypto.
It’s a huge move for a company that’s been fighting to stay relevant in an industry shifting rapidly toward digital gaming. Though GameStop’s name still echoes from the chaotic short squeeze days fueled by Reddit’s r/WallStreetBets, its core business has continued to suffer with net sales declining year after year.
Back in March, GameStop hinted at a strategy pivot, telling investors it would start treating bitcoin as a “treasury reserve asset.” Now, that promise has officially become reality.
Still, the news hasn’t exactly thrilled Wall Street. Every time GameStop mentions crypto, its stock seems to stumble. Investors remain nervous — and not without reason. Crypto, after all, is notorious for its wild price swings.
Since Donald Trump returned to the White House, the U.S. government has done a complete 180 on crypto. In fact, the administration is now building a Strategic Bitcoin Reserve, and Trump’s media company is trying to raise $2.5 billion to buy even more bitcoin.
If that wasn’t wild enough, Trump reportedly invited the top holders of his memecoin — yes, a real cryptocurrency connected to the president — to a private dinner at the White House.
Not surprisingly, this raised some serious eyebrows. Democratic Senators Chuck Schumer and Jeff Merkley fired back with the “End Crypto Corruption Act,” warning that Trump’s personal investments in crypto could open the door for corruption and national security risks.
“People can buy crypto he owns to curry favor. That’s a dangerous, corrupt scheme,” Merkley said in a statement.
Despite these concerns, the bill has little chance of moving forward without bipartisan support.
Meanwhile, Bitcoin’s price has surged to record highs, soaring past $110,000 in May — a massive jump from the $75,000 mark just a month earlier. Other big-name companies like Tesla, Coinbase, and Block already hold more than $1 billion in Bitcoin. GameStop, it seems, is hoping to join the club.
It’s a risky play for sure, but in a time when GameStop’s traditional business model feels outdated, betting on bitcoin might be the Hail Mary it’s looking for.
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