Video game retailer turned meme stock GameStop has announced that it has purchased Bitcoin, currently worth approximately $512.79 million.
The firm tweeted that it had purchased 4,710 Bitcoin (BTC), after having completed a $1.5 billion offering of convertible senior notes to investors in early April.
At the time, GameStop stated that it planned to use the proceeds to establish a corporate Bitcoin treasury; while not explicitly stated in the Wednesday release, it is likely the $512.79 million Bitcoin acquisition is for this planned reserve.
In March, GameStop CEO Ryan Cohen hinted at the retailer’s Bitcoin plans as he posed next to Strategy co-founder and Executive Chairman Michael Saylor, who established the business model of public companies holding Bitcoin as an asset.
As a result of Strategy’s embrace of Bitcoin, it transformed from a middling business intelligence software company to a firm with a market capitalization of $101.76 billion, according to TradingView. It appears that GameStop is looking to adopt a similar strategy, hoping for comparable success.
This is a breaking story and will be updated shortly.
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