![[Download] Intuitive 3D Modeling | Abstract Sculpture | FLIGHT | DANA KRYSTLE](https://techcratic.com/wp-content/uploads/2025/08/1755630966_maxresdefault-360x180.jpg)
![[DEBUT COVER] Intergalactic Bound – Yunosuke / CircusP [MIKU EXPO 10th]](https://techcratic.com/wp-content/uploads/2025/08/1755598927_maxresdefault-360x180.jpg)
Hongji Feng
2025-07-15 15:26:00
cryptonews.com
Author
Hongji Feng
Author
Hongji Feng
Share
Key Takeaways:
- Ryan Cohen said GameStop is prioritizing cautious capital allocation over aggressive crypto exposure.
- The company’s convertible note offerings remain a popular funding route even amid equity market volatility.
- Digital assets continue to enter treasury management discussions, but adoption strategies are uneven.
GameStop CEO Ryan Cohen said on Tuesday that the company’s recent Bitcoin purchase was meant as a hedge against macroeconomic uncertainty.
According to his comments made during a July 15 appearance on CNBC, the company is not making an attempt to follow other corporate treasury approaches like Strategy (previously known as MicroStrategy).
Bitcoin as a Hedge Against Inflation
“I look at it as a hedge against inflation and global money printing, and we’ll see what happens,” Cohen said.
GameStop acquired 4,710 bitcoins in late May, valued at over $500 million. The purchase followed a series of corporate moves by firms like Strategy, which accumulated billions of dollars in Bitcoin in recent years. Cohen clarified that GameStop’s move was unrelated.
“We have our own unique strategy, and we have a very strong balance sheet, over $9 billion of cash and marketable securities,” he said.
Cohen said the company would maintain a disciplined approach in deploying capital. “We will deploy that capital responsibly as I would my own capital, and only look for opportunities where the downside is limited and there’s a lot of upside,” he said. “We’ll be opportunistic when we see those opportunities.”
GameStop’s crypto position is part of Cohen’s effort to stabilize operations. The company has shifted its business mix, focusing more on trading cards and collectibles.
New Outlook for GameStop
The CEO added that GameStop has moved away from its earlier dependence on hardware and software. He said the retailer has now made a “significant” shift toward those newer segments.
“We will deploy that capital responsibly as I would my own capital, and only look for opportunities where the downside is limited and there’s a lot of upside,” Cohen said. “We’ll be opportunistic when we see those opportunities.”
The company recently raised $2.25 billion through an upsized convertible note offering. The zero-coupon notes carry a conversion price of approximately $28.91 per share, reflecting a 32.5% premium over the stock’s average trading price at the time of announcement.
The offering follows a similar $1.5 billion raise in April and comes amid ongoing volatility in the company’s stock, which fell 24% in the past week.
Some public companies are exploring Bitcoin as a reserve asset, but with different levels of exposure. Strategy has taken an aggressive approach, while others, including Tesla and Block, have kept their holdings limited.
Frequently Asked Questions (FAQs)
Yes. Under current U.S. GAAP, Bitcoin is treated as an intangible asset, meaning it must be written down for impairments but cannot be marked up if its value increases. This has raised concerns about transparency and financial reporting accuracy.
Convertible notes issued at a premium typically delay dilution but still create the possibility of future share issuance. If converted, the new shares can dilute existing ownership depending on the stock price performance at maturity.
The SEC and FASB have both initiated reviews related to digital asset disclosure, particularly after the rise of spot Bitcoin ETFs. Future rules may clarify how corporations report holdings or manage risk, potentially influencing more widespread adoption.
Explore new destinations with ease using the Garmin Drive 52 GPS Navigator! With over 17,988 ratings and a solid 4.4/5-star rating, this GPS system has been a top choice for travelers. Over 500+ units were bought in the past month, all for only $144.99.
This 5″ GPS navigator comes with essential driver alerts, real-time travel data, and external memory storage. The simple on-screen menus and bright, easy-to-see maps make it easy to navigate wherever you are. Plus, it’s road trip-ready with The HISTORY Channel database, featuring notable historic sites and much more to enhance your journey.
Don’t miss out—get your hands on the Garmin Drive 52 today for a smoother ride ahead! Buy Now for $144.99 on Amazon!
Help Power Techcratic’s Future – Scan To Support
If Techcratic’s content and insights have helped you, consider giving back by supporting the platform with crypto. Every contribution makes a difference, whether it’s for high-quality content, server maintenance, or future updates. Techcratic is constantly evolving, and your support helps drive that progress.
As a solo operator who wears all the hats, creating content, managing the tech, and running the site, your support allows me to stay focused on delivering valuable resources. Your support keeps everything running smoothly and enables me to continue creating the content you love. I’m deeply grateful for your support, it truly means the world to me! Thank you!
|
BITCOIN
bc1qlszw7elx2qahjwvaryh0tkgg8y68enw30gpvge Scan the QR code with your crypto wallet app |
|
DOGECOIN
D64GwvvYQxFXYyan3oQCrmWfidf6T3JpBA Scan the QR code with your crypto wallet app |
|
ETHEREUM
0xe9BC980DF3d985730dA827996B43E4A62CCBAA7a Scan the QR code with your crypto wallet app |
Please read the Privacy and Security Disclaimer on how Techcratic handles your support.
Disclaimer: As an Amazon Associate, Techcratic may earn from qualifying purchases.
