GameStop is facing calls to allocate its $5 billion cash reserves to Bitcoin as part of a bold financial strategy. Matt Cole, CEO of Strive Asset Management, has sent a letter to GameStop CEO Ryan Cohen, urging the company to embrace Bitcoin to safeguard its financial future.
JUST IN: GameStop CEO receives letter urging the company to buy $5 billion worth of Bitcoin as a reserve asset. pic.twitter.com/Ol2prD1Bv6
— Watcher.Guru (@WatcherGuru) February 25, 2025
Bitcoin as a Hedge Against Inflation
Cole argues that holding Bitcoin would help GameStop protect its reserves from inflation and economic instability. With Bitcoin gaining recognition as a store of value, Cole believes the move would enhance GameStop’s financial standing and market appeal.
From Meme Stock to Market Leader
Once a struggling video game retailer, GameStop rose to prominence as a meme stock, fueled by retail investors on platforms like Reddit. Following its stock market resurgence, the company has focused on minimizing operating losses and driving revenue growth. Cole asserts that investing in Bitcoin could further solidify GameStop’s transition from a speculative stock to a serious market player.
Following the Lead of Bitcoin-Adopting Firms
Strive Asset Management, which holds GameStop shares through exchange-traded funds (ETFs), highlights that other companies, such as MARA Holding and Semler Scientific, have successfully expanded their Bitcoin reserves. Cole suggests that GameStop could follow suit, strengthening its position in capital markets and attracting institutional interest.
Strive’s letter emphasizes that both GameStop and Strive have a duty to maximize shareholder value. Cole contends that adopting Bitcoin could boost institutional investment, elevating GameStop’s market reputation. The letter also advises against diversifying into other cryptocurrencies, stating that Bitcoin’s unique status as “digital gold” makes it the safest choice for long-term value storage.
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CEO Ryan Cohen has acknowledged receiving the letter but has not issued an official response. It remains unclear whether GameStop will seriously consider the proposal. Market analysts remain divided, with some seeing Bitcoin as a transformative asset for the company, while others question the risks involved. Strive, however, remains resolute in its stance, arguing that Bitcoin adoption could position GameStop for long-term financial success.
Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of CoinBrief.io. Before making any investment decisions, you should always conduct your own research. Coin Brief is not responsible for any financial losses.
