GameStop to Enter Crypto and NFT Markets in Turnaround Drive

The Wall Street Journal reported the news in an article published Jan. 6, stating that the company is exploring these “much-hyped” areas in order to improve its core videogame business.

According to people familiar with the matter the report said that GameStop is creating an online platform for NFT trading in video games. It is possible that this will include weapons and outfits for various games. It added that the firm had hired more than 20 people for the operation.

The company has reached out to several game publishers and game developers in order to list NFTs on its new marketplace. However, no specific date was given.

CryptoPotato reported in September that GameStop was working on an Ethereum-based NFT system. Although there was speculation about a tie-up to Loopring, a layer 2 decentralized exchange, nothing has been confirmed.

Crypto Partnerships

GameStop is also looking for crypto partnerships. It has already signed deals with two companies to share technology and invest in the development of NFT and blockchain games. According to unnamed sources, the firm plans to partner with more than 12 similar crypto firms and invest “tens or millions of dollars” in them.

It said that the Texas-based company is making more efforts to recover its business after years of losses. Matt Furlong, CEO of the company, stated that “we believe our focus on the long-term is positioning us to create what will eventually become a larger business.”

GameStop was also the center of the “memestock” trading frenzy in 2013, when retail investors hyped the stock via a Reddit group.

GameStop Stock Surge

MarketWatch reports that GameStop shares surged following the news and that after-hours trading saw a nearly 30% increase in GameStop’s share price.

GME shot up from $130 to $174 on Thursday, before stock prices fell to their current levels of $160.

GameStop shares are on the decline since November when they reached a peak of $250. GME reached an all-time high just below $350 in the trading frenzy of late January.

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Marla Brooks

Marla Brooks – Financial Analysis My name is Marla Brooks, and I am the mainstream behind the”observednews.com”  for the powerful and most delicate insights into the latest activities in the financial analysis category. I started my journey as an independent financial consultant. I had approximately nine years of experience in this field. I am free soul so; my passion for exploring the world has taken me to the nations across the globe and given me the chance to report for a portion of the best news associations. Currently, I am a full-time editor as experienced in finance and started to use my abilities.

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