By Nermeen Nabil Khear 
GameStop, the video game company, announced that its board of directors unanimously voted to add Bitcoin to its treasury reserves. GameStop has become a meme stock through its online popularity and association with non-traditional forms of finance. The company said it would use cash, debt, and equity sales to buy Bitcoin.
GameStop further announced that it would also buy stablecoins to embrace a digital future of business and digital money. On February 1, GameStop had nearly $4.8 billion in cash, enough to buy a considerable amount of Bitcoin. However, the company said it didn’t lower how much Bitcoin it could buy.
“On March 25, 2025”, wrote GameStop in their SEC filing, “we announced that, as part of our revisions to the Investment Policy, the Board approved the addition of Bitcoin as a treasury reserve asset, alongside U.S. dollar-denominated stablecoins, to diversify the Company’s investment portfolio… a portion of our cash or future debt and equity issuances may be invested in Bitcoin. We have not set a maximum amount of Bitcoin we may accumulate, and may sell any Bitcoin we may acquire”.
GameStop’s earnings report for Q4 2024 had $1.28 billion in revenue, which missed the mark of $1.48 billion in expected revenue and fell from the previous amount of $1.79 billion. The drop in revenue shows the decline in physical video game stores. GameStop shut 590 stores but still struggled to get revenue up. However, GameStop reached $0.29 per share, beating expectations of $0.08 per share. Further, net income jumped from $63.1 million to $131.3 million, a great result for the video game company, but mainly due to cost-cutting measures.
The company’s strategy may be to demonstrate a willingness to embrace new technologies, address its problem with turnover, try to make a profit in a declining market, and have a lot of support from investors and speculators. The company may be attempting to remain agile in a difficult market, using Bitcoin to utilise a cash-heavy balance sheet and survive a transitory moment in monetary policy.
Matt Hougan, Bitwise Chief Investment Officer, stated that now was the best time to buy Bitcoin, noticing that the key issues that made Bitcoin a risky asset, such as technological uncertainty, unreliable exchanges, and draconian regulations, have been largely reversed, making the digital asset highly sought after by investors.
Head of Strategy, Michael Saylor, pioneered using Bitcoin as a treasury reserve and acquired over $40 billion in Bitcoin. GameStop CEO Ryan Cohen posted a picture of himself with Saylor on X a month ago, hinting that GameStop is pursuing a treasury strategy.
In 2022, GameStop created a crypto wallet to connect the gaming business to Web3 blockchains, but it failed due to regulatory uncertainty. However, the gaming industry overlaps with the crypto sector, making crypto investors curious about the GameStop stock. In 2021, activist investors boosted GameSpot’s price, which resonated with crypto traders.
Strategy, the crypto company, has inspired many other companies to create a treasury reserve. Since Saylor began accumulating Bitcoin, Strategy’s stock has gone up 2,600%, while the Bitcoin price has gone up 700%. In 2020, Strategy started its Bitcoin treasury to hedge against inflation.
This articles is written by : Nermeen Nabil Khear Abdelmalak
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