TLDR
GameStop CEO Ryan Cohen followed Bitcoin Magazine on X, his first new follow in 4 years besides GameStop’s official account, sparking speculation about potential Bitcoin investment
A recent photo emerged showing Cohen with Michael Saylor, though CNBC sources say Saylor isn’t directly involved in any GameStop Bitcoin plans
GameStop has $4.616 billion in cash and investments as of October 2024, with Cohen having authority to invest in cryptocurrencies without shareholder approval
If invested in Bitcoin, GameStop’s cash reserves could acquire around 48,000 BTC, making it the second-largest corporate holder behind Strategy
GameStop’s stock rose 8% in after-hours trading following speculation about potential cryptocurrency investments
GameStop’s potential entry into Bitcoin investment has captured market attention following a series of events involving CEO Ryan Cohen. The video game retailer, holding $4.616 billion in cash and marketable securities, could theoretically become one of the largest corporate Bitcoin holders if it decides to convert its reserves.
On February 20, 2025, Cohen added Bitcoin Magazine to his follows on X, making it only the second account he follows besides GameStop’s official handle. This simple action marked his first new follow in nearly four years, triggering discussions about possible cryptocurrency investments.
👀
Go on king 👑 https://t.co/ApTV3WwTaj
— David Bailey🇵🇷 $0.85mm/btc is the floor (@DavidFBailey) February 20, 2025
The speculation intensified after a photograph emerged two weeks ago showing Cohen meeting with Michael Saylor, Executive Chairman of Strategy. Saylor leads his company’s Bitcoin acquisition strategy, which has accumulated nearly 500,000 BTC. However, CNBC reported through two unnamed sources that Saylor has no direct involvement in any potential GameStop Bitcoin plans.
GameStop’s investment policy gives Cohen broad authority in cryptocurrency investments. According to Tim Kotzman, host of “The Bitcoin Treasuries Podcast,” the policy allows Cohen to invest in cryptocurrencies without requiring approval from shareholders or the board.
As of October 31, 2024, GameStop reported approximately $4.616 billion in cash, cash equivalents, and marketable securities. Analyst Han Akamatsu calculated that if GameStop converted its entire cash reserve to Bitcoin, it could acquire around 48,000 BTC at current prices.
Such an investment would position GameStop as the second-largest corporate holder of Bitcoin, ahead of MARA Holdings but behind Strategy. Bitcoin traded at $97,708 at the time of these developments.
The market has already reacted to these possibilities. GameStop’s stock price increased by 8% in after-hours trading as investors responded to the cryptocurrency investment speculation.
GameStop’s history with cryptocurrency and blockchain technology includes previous ventures. The company launched crypto wallets in 2022, though these were later discontinued due to regulatory concerns.
Cash to Crypto
The company’s potential interest in Bitcoin follows its earlier role in the “meme stock” phenomenon during the pandemic. During that period, retail investors rallied behind GameStop’s stock, challenging major hedge funds that had taken short positions.
Some observers drew connections between GameStop’s retail investor support and Bitcoin’s position as an alternative to traditional finance. Both movements attracted investors seeking options outside conventional financial systems.
The timing of Cohen’s recent actions has drawn particular attention. His meeting with Saylor and subsequent Bitcoin Magazine follow occurred during a period of rising Bitcoin prices and increased institutional interest in cryptocurrency.
Cohen has maintained public silence regarding any specific plans for Bitcoin investment. Despite the market speculation, GameStop has not released official statements about potential cryptocurrency purchases.
The company’s large cash reserve provides flexibility for various investment strategies. At current market prices, converting even a portion of GameStop’s $4.616 billion cash position to Bitcoin would represent a major move in corporate treasury management.
The gaming retailer’s stock performance suggests investors view potential cryptocurrency investment positively. The 8% after-hours trading increase indicates market approval for possible Bitcoin adoption.
Bitcoin traded at $97,708 during these developments, with GameStop’s stock showing increased activity in response to the investment speculation.
