GameStop revealed on March 25 that its investment policy now includes Bitcoin (BTC) as a treasury reserve asset following a unanimous board decision.

The video game retailer announced one day later that proceeds from a $1.3 billion convertible senior notes sale will in part go toward its acquisition of Bitcoin. The proceeds will also go toward other general corporate purposes.

GameStop submitted a 10-K filing to the U.S. SEC, stating that it could invest either cash or future debt and equity issuances into Bitcoin.

The filing states that GameStop has not decided on a maximum amount of Bitcoin to accumulate and that the company may sell any Bitcoin it obtains. It recognizes various risks, including but not limited to price volatility and loss of value, and acknowledges that the untested strategy may prove unsuccessful.

It elaborates that the company policy permits investments in “certain cryptocurrencies,” including U.S. dollar stablecoins — not just Bitcoin.

Comparisons to MicroStrategy

GameStop’s Bitcoin buying strategy has been compared to that of MicroStrategy, which has accumulated more than $40 billion of Bitcoin to date.

MicroStrategy chairman Michael Saylor appeared to support GameStop’s plans on X, calling its announcement a “step in the right direction.”

Saylor asked followers how much Bitcoin GameStop would need to hold to earn Bitcoiner’s respect, with 47% calling for a minimum $3 billion reserve.

Some critics have questioned whether GameStop’s plans are workable. In a statement to Yahoo! Finance, Wedbush analyst Michael Pachter argued that an overly aggressive investment policy could reduce GameStop’s stock price.

GameStop Closing Stores

GameStop’s SEC filing also indicated that the company is reviewing stores for closure. The company shut down 590 U.S. stores in the 2024 fiscal year and plans to close “a significant number of additional stores” in the 2025 fiscal year.

A recent CNN report indicated that the trend is longstanding. It said that the company has reduced its store count from 6,000 to 3,203 over the past decade.

GameStop made headlines in January 2021 due to a short squeeze led by Reddit users and, later, hedge funds. The incident caused widespread financial consequences for those involved and led to massive controversy.

GameStop’s stock (GME) peaked at $81.25 amidst the January 2021 short squeeze. Though its price has fallen significantly, GME remains above pre-2021 prices. It is priced at $21.73 as of March 29, 2025, down 15% over the previous five days.