GameStop Explained: Inside Its Bold Moves on Bitcoin, Store Closures & a Comeback

Key Takeaways

• GameStop is betting on Bitcoin as a treasury asset
• Store closures reflect a long-term shift focusing on efficiency, cost control, and adapting to digital trends in gaming and consumer behavior.
• Investors see the Bitcoin move as a turning point. 
• Past blockchain efforts failed, but crypto remains part of the strategy.

GameStop’s story is far from over. Once facing digital extinction, this brick-and-mortar retailer is making surprising moves. 

From venturing into the crypto world with Bitcoin to strategically closing stores while hinting at a digital revival, GameStop is charting a bold new course. 

Can this familiar name stage an unexpected comeback in a rapidly evolving landscape? 

Well, supporters say the move strengthens the company’s fundamentals and positions GameStop for a future beyond traditional retail. 

Let’s explore the intriguing shifts shaping GameStop’s future.

This article offers an overview of GameStop’s position in the crypto space, its involvement in blockchain, strategic moves, and what they signal about the company.

What Is GameStop?

Founded in 1984, GameStop became a well-known name among Gen X and Millennials. It sold and rented video games when gaming culture was still physical and store-based.

At first glance, it looked like another legacy company clinging to nostalgia, destined to follow Blockbuster as the world moved digital.

But GameStop turned out to be a very different story.

Ryan Cohen’s taking over as CEO shifted the company’s direction and symbolized resistance to traditional Wall Street logic. Key figures such as Roaring Kitty publicly supported the movement and invested in it.

Armed with experience from his success at Chewy, the online pet supply company he co-founded and sold for $3.35 billion, Cohen believed he could turn GameStop around and he did.

GameStop sparked a retail trading frenzy in 2021 after a gamma squeeze and a viral push from Keith ‘DeepFuckingValue’ Gill and Roaring Kitty. 

The stock jumped more than 250x in under a year, made global headlines, and shook Wall Street. 

After the rally, GameStop got into blockchain, launching an NFT marketplace, building a crypto wallet, and testing Web3 gaming. It later shut down those projects.

Additionally, there is also the Gamestop memecoin on Solana which, despite having no connection to GameStop, has drawn attention for its sudden price movements and growing online buzz.

The latest move? Buying into Bitcoin (BTC).

What’s Driving GameStop’s Bold Bitcoin Strategy?

After cutting costs, closing stores, and rebuilding its margins under Ryan Cohen, the company updated its investment policy in March 2025. It now places part of its massive cash reserve into Bitcoin. 

GameStop’s stock price increased on the New York Stock Exchange after the company made this announcement.

This move marks a clear shift with a specific objective in mind. GameStop is taking the same route as Strategy, former MicroStrategy, and Metaplanet, utilising Bitcoin as a treasury reserve asset.

By investing in Bitcoin, GameStop clearly states its role as a forward-looking player in the tech and crypto market instead of an old-fashioned retail company.

GameStop’s Store Closures: What’s Behind the Decision?

As of February 1, 2025, GameStop had 3,203 stores globally, including 2,325 in the United States. In 2010, the company operated 6,670 stores worldwide, closing 3,467 locations over the past 15 years. 

This massive downsizing shows poor market conditions and a new focus aimed at reducing costs and improving efficiency. 

Some of the main reasons are:

• Declining foot traffic: Fewer customers visit physical stores as digital downloads and e-commerce take over.
• Lower demand for physical games: Most new game sales now happen online, cutting the need for retail space.
• Rising operational costs: Rent, staffing, and utilities make underperforming stores financially unsustainable.
• Better margins through consolidation: Fewer locations mean tighter control over inventory and stronger performance per store.
• Shifting consumer habits: Gamers expect speed, convenience, and digital access.

How GameStop Is Positioning Itself for a Crypto Comeback

In 2021, GameStop’s stock price suddenly and explosively rose, driven by retail investors who rallied online to challenge Wall Street short sellers.

The company is looking for a comeback by making cryptocurrency central to its 2025 plan to regain relevance and investor confidence. 

The board approved the plan on March 25, marking a clear shift in strategy, focusing on digital assets. 

In an April 1 SEC filing , GameStop said it raised money by offering convertible debt—loans that can turn into stock later. Reportedly, the company will use part of that money to buy Bitcoin and stablecoins, cryptocurrencies tied to the value of the U.S. dollar.

NFT and Blockchain: GameStop’s New Focus

GameStop’s interest in blockchain is not new. It launched its own crypto wallet in May 2022 and followed up with an NFT marketplace in July 2022, aiming to enter the digital collectibles space. Activity was strong at launch, with trading volume briefly outpacing Coinbase NFT. 

But interest dropped fast, and volumes fell. Crypto regulations tightened, and internal changes followed. GameStop shut the wallet on November 1, 2023, and closed the marketplace on February 2, 2024.

At the time, the company cited “regulatory uncertainty in the crypto space,” referring to increased scrutiny from U.S. regulators like the SEC and CFTC , especially around whether NFTs and tokens might be treated as unregistered securities. 

But the move was not an exit from blockchain; it may have been just some first steps into using blockchain to shift its position.

Despite the drop in NFT interest, GameStop has boosted its physical collectible business. Since 2017, the company has grown this segment and offers card grading services in partnership with PSA to attract in-store traffic and increase revenue.

How GameStop’s Stock Performance Reflects Its New Strategy

Wall Street saw the Bitcoin move as a bold catalyst that could energize GameStop’s future growth, as its share price went up. The rally indicated that investors—especially those who follow the tech and crypto space—approved of GameStop’s new direction.

A heavy GameStop investor told CCN what he thinks about the move. 

“I think investing in Bitcoin is probably a statement about what they think of the value of the dollar versus Bitcoin. And if there’s enough momentum away from the dollar, the U.S. dollar itself could go into hyperinflation. Various companies are hedging against that, and GameStop might be one of them. It’s obviously a very extreme scenario, but it’s not impossible,” the investor said. 

He continued, “the stronger the company gets, the harder it becomes to justify holding it down. If GameStop keeps building cash, cutting debt, and making bold moves like buying Bitcoin, the long-term value only grows. Eventually, they won’t be able to suppress the price anymore. The fundamentals will take over.”

What GameStop’s Bitcoin Move Means for the Future of Retail

The digital space is taking over. Options are changing. And when GameStop moves into cryptocurrency, it sends a clear message: crypto has the potential to be a game changer.

Holding Bitcoin in its treasury shows how businesses might start using crypto as a real financial tool. If the move works, others might follow. Retail and crypto are crossing paths in ways that go beyond payments.

Loyalty has always mattered to GameStop. Now, that loyalty could take a new form—maybe even tied to crypto.

GameStop is thinking ahead. By incorporating crypto into its business model, it is preparing for a future where digital assets shape how people buy, sell, and store value.

Conclusion

After closing thousands of stores and stepping back from some crypto projects, GameStop is now putting part of its future on Bitcoin, following the path taken by others. It has the cash, the retail following, and leadership willing to make bold moves. What this means for its supporters remains to be seen.

The crypto strategy reflects a broader shift toward digital value, which includes stablecoins.

Whether this becomes a smart hedge or a misstep largely depends on how Bitcoin performs and how GameStop uses it. For now, the company is making it clear: it doesn’t plan to sit still. What happens next is in the market’s hands.

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