GameStop's potential Bitcoin investment has drawn criticism from Peter Schiff, who dismissed the move as a desperate attempt to stay relevant.
The outspoken Bitcoin skeptic argued that both GameStop and Bitcoin are overpriced, suggesting the retailer’s plan is more about boosting its stock than securing a solid financial strategy.
The announcement sent GME shares soaring 20%, echoing the 2021 meme stock frenzy that shook Wall Street.
While some companies have successfully integrated Bitcoin into their balance sheets—most notably MicroStrategy—Schiff believes that without a strong business foundation, simply adding Bitcoin won’t guarantee long-term success.
GameStop is still evaluating its crypto investment options and has yet to make a final decision. CEO Ryan Cohen recently shared a photo with MicroStrategy’s Michael Saylor, sparking speculation, though reports suggest Saylor isn’t directly involved.
This wouldn’t be GameStop’s first venture into crypto; in 2022, the company launched a digital wallet service, only to shut it down a year later due to regulatory concerns.
Bitcoin’s price remains in a tight range, with investors wary of potential declines.
Michael Saylor, chairman of MicroStrategy and a well-known advocate for Bitcoin, has outlined a set of 21 guiding principles that he believes define the essence of Bitcoin.
Bitcoin’s share of the total cryptocurrency market has surged to nearly 60%, marking its highest level in recent years as investors increasingly shift away from altcoins.
A recent Bernstein research report reveals that the U.S. government is considering the creation of a national Bitcoin (BTC) reserve, which could trigger a global rush among nations to accumulate the digital asset.