The Gamestop store appears at Union Square on April 4, 2025 in New York City.
Michael M. Santiago Gety pictures
Gamestop The shares slipped on Thursday after the retail video games and MEME shares announced plans to obtain a $ 1.75 billion -dollar transfer notes that provide the new Bitcoin purchase strategy.
The company said it intends to use net returns from supply for public companies, “including making investments in a way that is consistent with the Gamestop and possible acquisition.”
Part of the investment policy is the addition of cryptocurrencies to its public budget. Last month, Gamestop bought 4,710 Bitcoins, at a value of more than half a billion dollars.
The shares rose more than 15 % in the pre -market trade after the announcement.
Gamestop
Gamestop is followed in the footsteps of the Microstrategy software, now known as the strategy, which has bought billions of dollars in bitcoin in recent years to become the largest company holder in the leading currency. This decision pushed a rapid, albeit volatile rise in strategy shares.
The strategy has released various forms of securities, including convertible debts to finance Bitcoin.
CEO Ryan Cohen recently said that Gamestop’s decision to purchase Bitcoin is driven by Macro’s fears as the digital currency, with its fixed supplies and decentralized nature, could be a protection against some risks.
The brick and mortar retail seller has reported that the revenues of the first quarter on Tuesday had decreased with the high demand for online games. Its revenues decreased by 17 % year on an annual basis to $ 732.4 million.
The shares fell 5 % on Wednesday after these results. The Wall Street looks un sure that it can mimic the success of Microstrategy.
Michael Pashtar, a Wedbush analyst, repeated his weak rating on Gamestop on Wednesday, saying that the share of Meme has been constantly benefiting from the “Great Breakten” ready to pay more than twice the value of its assets to shares. Wedbush analyst believes that Bitcoin’s purchase strategy is meaningless because the company, which is already traded with criticism of 2.4 times, is unlikely to lead a greater allowance by converting more money to encryption.
Correction: Gamestop 5 % shares fell on Wednesday. Previous version made a mistake in the percentage.
