Popular American video game retailer GameStop has received board approval to incorporate Bitcoin into its corporate strategy. This decision has drawn mixed reactions and may impact the cryptocurrency's value.
Decision to Invest in Bitcoin
GameStop's board has unanimously approved the incorporation of Bitcoin (BTC) into its corporate strategy. This decision places GameStop among a growing number of public companies adopting Bitcoin strategies to enhance shareholder value.
Market Reactions and Implications
The announcement has elicited varied responses. Michael Saylor, a leading advocate of the Bitcoin strategy, has hailed this decision as a 'step in the right direction.' According to GameStop's SEC filings, its groundwork for Bitcoin closely mirrors Strategy's approach, including debt and stock issuance.
Future of GameStop's Stock Price
Despite differing opinions, companies adopting Bitcoin strategies often experience significant stock price increases. For instance, Strategy's stock surged by 2000% since adopting Bitcoin in 2020. Whether GameStop's stock will follow this trend remains to be seen, but it did rise by 10% shortly after the U.S market opened on Wednesday.
GameStop's decision to incorporate Bitcoin into its strategy is intriguing and brings diverse expectations. Time will tell how it impacts the company and the market at large.
