GameStop follows Strategy’s lead with bitcoin acquisition plan, $1.3 billion note offering
Quick Take In conjunction with Q4 earnings on Tuesday, GameStop said it would update its investment policy to add Bitcoin as a treasury reserve asset. “Welcome to Team Bitcoin,” Strategy’s Michael Saylor wrote Tuesday on X.
Following in the footsteps of bitcoin treasury company Startegy, beleaguered video game retailer GameStop announced a proposed private offering of $1.3 billion of convertible senior notes to begin its new bitcoin acquisition plan.
"Welcome to Team Bitcoin," Saylor wrote Tuesday on X .
Strategy's "21/21 plan" targets a total capital raise of $42 billion in equity offerings and fixed-income securities for bitcoin acquisitions. That company has used proceeds from the sale of its class A common stock, MSTR, as well as new perpetual strike preferred stocks. Strategy now holds a total of 506,137 BTC — worth over $44 billion.
"When MicroStrategy started buying bitcoin in 2020, they had nowhere near that amount of cash," a user pointed out Tuesday on X in a post shared by Matthew Sigel, head of digital assets research at VanEck. "In fact the total amount injected from existing cash in treasury by Microstrategy since 2020 is only about $650M, there rest was all debt funding or ATM sells."
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
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