GameStop is reportedly considering investing in Bitcoin, sparking speculation after CEO Ryan Cohen’s meeting with Michael Saylor and triggering a surge in GME stock price.
GameStop (GME), the video game retailer known for its meme stock status, is reportedly considering investments in Bitcoin (BTC), according to a report from CNBC citing three unnamed sources. The news triggered an after-hours surge in GameStop's stock price, reflecting renewed investor enthusiasm for the company's potential entry into digital assets.
GameStop is considering buying #Bitcoin, per CNBC.
— TFTC (@TFTC21) February 13, 2025
The company has $4.6B in cash, and its CEO was recently spotted with Michael Saylor. pic.twitter.com/ew90oHqirZ
The CNBC report surfaced just days after GameStop CEO Ryan Cohen posted a photo of himself with Michael Saylor, Executive Chairman of Strategy (formerly MicroStrategy). Strategy is widely recognized as the largest corporate holder of Bitcoin, with more than 400,000 BTC in its treasury. This connection has fueled speculation about GameStop’s potential strategy regarding Bitcoin.
GameStop's financial standing could support such a move. The company reported $4.6 billion in cash on its balance sheet at the end of its third quarter, with total liabilities of less than $1.5 billion. This strong cash position provides GameStop with the financial flexibility to explore alternative asset classes, including Bitcoin.
Following the CNBC report, GameStop’s stock price saw a significant rise in after-hours trading, climbing from approximately $26 to a peak of nearly $31 before settling around $28.50. According to Decrypt, the stock closed the regular trading session at $26.30 before experiencing the after-hours boost. The news also appeared to positively impact Bitcoin’s price, which briefly climbed to $96,700.
If the CNBC report is accurate, this potential shift towards Bitcoin investment suggests a renewed interest in Bitcoin under the new regulatory landscape. Following the inauguration of President Donald Trump, who has signaled a more favorable stance toward the Bitcoin industry, companies may be reconsidering their positions in digital assets.
GameStop’s rumored move comes amid the rising influence of Strategy, which began accumulating Bitcoin in 2020 and has since amassed over $46 billion worth of BTC. Strategy’s bullish approach has inspired several publicly traded companies to consider adding Bitcoin to their balance sheets as a hedge against inflation and economic uncertainty.
