GameStop Adds $450M in Debt to Expand $2.7B Bitcoin Reserve Plan

Key Takeaways

• GameStop has topped up its convertible note issuance, bringing the total sale to $2.7 billion.
• So far in 2025, GameStop has issued notes worth $4.18 billion.
• The company plans to use the money to buy Bitcoin, among other things.

Following GameStop’s $2.25 billion convertible note sale earlier this month, the initial purchaser has exercised their option to buy an additional $450 million of notes.

As the retailer ramps up its Bitcoin treasury strategy, the latest issuance brings GameStop’s total funding in 2025 to over $4 billion.

GameStop’s BTC Treasury Strategy

GameStop’s board initially voted to add Bitcoin as a treasury reserve asset in March.

Before the end of the month, the company had raised $1.48 billion in a convertible note offering, with an SEC filing stating that GameStop, “expects to use the net proceeds from the offering for general corporate purposes, including the acquisition of Bitcoin.”

Convertible notes are a form of financing where investors provide a loan to a company with the option to convert that debt into equity at a later date.

GameStop made its first bitcoin purchase in May, using proceeds from the March offering to buy 4,710 BTC, worth approximately $513 million at the time.

Doubling Down on Note Sales

The next big move occurred earlier in June, when GameStop disclosed another convertible note sale, this time priced at $2.25 billion with a 13-day option to purchase up to an additional $450 million.

The latest SEC filing on June 23 confirms that the investor elected to purchase the full $2.7 billion.

Combined with the March offering, GameStop’s note sales have now raised $4.18 billion, which is available to fund bitcoin purchases.

Is GameStop the Next MicroStrategy?

GameStop’s tactic of borrowing money to buy Bitcoin mirrors that of other Bitcoin treasury companies, the most notable of which is Strategy (formerly Microstrategy).

Since it started hoarding BTC in 2020, Strategy’s reserve assets have eclipsed its traditional software business. Today, the company mostly acts as a stock market proxy for the price of Bitcoin and continues to issue more debt to fund its purchases.

GameStop isn’t there yet. So far, it has only purchased modest amounts of BTC. But if the company spends all of the available funds from its recent note sales on crypto, it would represent around a third of its market capitalization.

With its retail business still struggling despite the best efforts to turn it around, the Bitcoin treasury model could reverse GameStop’s fortunes as it recovers from nearly a decade of losses.