GameStop Corp (NYSE: GME), an American video game and gaming merchandise retailer, joined the companies holding Bitcoin as a reserve asset. The company on Wednesday announced acquiring 4,710 Bitcoin as part of a new strategy to hold BTC as a treasury reserve asset.
GME stock price also jumped over 4% in premarket trading hours today. Also, the stock has rallied over 20% in a week.
GameStop Purchases 4710 Bitcoin
In a press release on May 28, video game retailer GameStop announced that it purchased 4,710 Bitcoin. However, the company revealed no details about the purchase date and amount. The company’s Bitcoin reserve is worth $512.5 million at the current BTC price of $108,832.
Earlier in March, GameStop’s board of directors unanimously approved an update to its investment policy. The board agreed to add Bitcoin as a treasury reserve asset, diversifying its asset investments.
Source: X The firm joins the Bitcoin club, which includes Wall Street names such as Strategy, Trump Media Technology Group, and Block.
Last week, Michael Saylor’s Strategy acquired 4,020 Bitcoin for $427.1 million, bringing the company’s total holdings to 580,250 BTC.
The firm paved the way for other companies, such as Block and Tesla, to follow, pushed substantially by President Donald Trump’s signing order to establish a strategic Bitcoin reserve.
GameStop’s Strategy Behind Bitcoin Buy
GameStop (GME) accumulated significant cash reserves, transforming from a brick-and-mortar video game retailer. As of March 25, 2025, the company held approximately $4.775 billion in cash, cash equivalents, and marketable securities according to GameStop’s Q4 2024 results.
Moreover, Ryan Cohen has made significant changes to the company since becoming the chief executive officer (CEO) in September 2023. Cohen played an influential part in the board’s decision to acquire Bitcoin as a treasury reserve asset.
GameStop’s board planned to proceed with a Bitcoin treasury strategy, offering $1.3 billion in debt to raise the funds for BTC acquisition. The company is the 13th biggest company holding Bitcoin, with the holdings currently representing only 3.28% of the market cap.
Companies Holding Bitcoin | Source: X GME Stock On An Unstoppable Rally?
GME stock saw over a 26% rally in May, with over a 20% increase coming in the last week itself. The stock price closed 5.99% at $35.01 on Tuesday.
At the time of writing, the shares were trading 4% higher in the premarket trading hours on Wednesday. Moreover, the company is expected to announce its 2025 Q1 results on June 9 after the market hours.
GameStop’s entry into the Bitcoin club could prove crucial for its retail investors. Investor and market expert Anthony Pompliano, said , “This is going to send the retail traders into a frenzy.”
Meanwhile, Bitcoin price remained unfazed after the announcement. BTC price was down 0.71% at $109,019 at the time of writing. The 24-hour low and high were $108,342 and $110,744, respectively.
