GameStop Holds $519M in Bitcoin Amid Share Decline and Disappointing Sales
As of November 1, the end of the third quarter, GameStop's bitcoin holdings were valued at $519.4 million. The company held 4,710 BTC, the same amount purchased between early May and mid-June using proceeds from a $1.3 billion debt offering in March. Since May, there have been no new bitcoin purchases or sales made by GameStop.
During the quarter, GameStop booked a $9.2 million loss on its digital asset holdings due to a decline in bitcoin's price, which fell from about $115,000 to about $110,000. At the time of the report's publication, bitcoin was priced at $92,584.43.
Shares of GameStop fell 5.8% on the Wednesday following the earnings report amid disappointing sales results, continuing a decline of over 22% since the company announced its bitcoin initiative in March. March signaled a strategic shift for GameStop, as it incorporated bitcoin into its treasury management strategy.
