GameSquare Holdings, Inc. announced its first investment in an NFT by acquiring a rare CryptoPunk from Robert Leshner for $5.15 million. This event marks a new direction in the company’s strategy.
NFT CryptoPunk Acquisition
GameSquare acquired a rare CryptoPunk NFT known as 'Cowboy Ape' from Robert Leshner, founder of the DeFi protocol Compound. Under the terms of the deal, the company issued Leshner preferred stock worth $5.15 million, which can be converted into 3.4 million shares of GameSquare's common stock. This purchase opens new horizons for the company's strategy aimed at blockchain adoption.
NFT Yield Strategy
GameSquare plans to use its NFT assets to generate income. They are launching a yield program targeting stablecoin returns of 6-10% annually. The CryptoPunk NFT will be actively used for marketing activations and community engagement while supporting more ambitious Web3 initiatives.
ETH Holdings Update
Additionally, GameSquare reported a recent $10 million purchase of Ethereum, totaling approximately 2,742.75 ETH at an average price of $3,646 per ETH. The company now holds 12,913.49 ETH. These activities are part of its cryptocurrency treasury management strategy with a total authorization of $250 million.
GameSquare's investments in NFTs and Ethereum showcase its intent to take a leading role in blockchain innovations and asset management within the digital space.
