Shares in GameStop, the company at the center of the 2021 'meme stock' phenomenon, are soaring again
GameStop has evolved from a gaming retailer to a meme stock leader, and now, a corporate Bitcoiner. AFP

KEY POINTS

  • GameStop said its board approved a Bitcoin treasury strategy that will expand its investment portfolio to include $BTC
  • Popular Bitcoiners, including Strategy's Michael Saylor, praised GameStop's decision
  • GameStop has had multiple downturns in recent years amid a decline in demand for used games

Gaming retailer and meme stock leader GameStop has just joined the list of publicly listed companies that adopted a Bitcoin treasury strategy, paving the way for the company to get a bite from the growing corporate BTC holder market.

In a rather short press release, the company said that on Tuesday its board "unanimously approved an update to its investment policy to add Bitcoin as a treasury reserve asset."

The move is very similar to how segment leader Strategy (formerly MicroStrategy) first adopted its Bitcoin treasury strategy.

GameStop's stock price dropped 0.82% in the day, but it did see over 6% in gains during after-hours trading.

Bitcoiners Laud GameStop's Evolution Through the Years

Bitcoiners, long-term BTC holders who advocate for the broader adoption of the world's most valuable cryptocurrency, took to the GameStop announcement's comments section to congratulate the company for its decision.

"The Evolution of GameStop from an outdated, failing business model to the darling of the meme stock movement to a Bitcoin treasury company will be studied in history books," said one user.

Joe Burnett, leading Bitcoiner and the director of market research at Unchained, said it must not have been on most people's radar how GameStop has evolved over the years to become one of the world's largest companies despite its dramatic ups and downs.

Strategy's Executive Chairman Michael Saylor said GameStop is taking a "a step in the right direction." Strategy is currently the world's largest corporate holder of BTC, outside the BlackRock Bitcoin exchange-traded funds (ETFs).

Well-known BTC maximalist Wayne Vaughan said GameStop is making a good choice, also re-sharing a post he made back in June where he encouraged the company to "use Saylor's playbook and start buying Bitcoin."

The official X account of self-custodial, open-source Bitcoin wallet provider ZEUS encouraged GameStop to start accepting BTC payments moving forward.

Jayson Browder, the SVP of Government Affairs and Social Responsibility at Bitcoin miner MARA, welcomed GameStop "to the corporate SBR (strategic Bitcoin reserve) club."

GameStop's Wild Journey to Bitcoin

Before Tuesday's announcement, the once-beloved video game retailer, has had multiple downturns in recent years.

In mid-2023, it ousted its then-CEO Matthew Furlong and appointed board chairman Ryan Cohen as executive chairman following several years of aggressive cost-cutting as demand for used games declined dramatically.

GameStop has shuttered many of its stores over the years. There was a time when it had over 5,000 stores worldwide, but in 2023 alone, it shuttered 287 locations.

There have been rumors around GameStop potentially betting on a Bitcoin treasury strategy in the last few years, and finally, the meme stock giant caved in.

Originally published on IBTimes