February 26, 2025.
GameStop Urged to Invest $5B Cash in Bitcoin by Strive's CEO
Matt Cole, CEO of Strive Asset Management, has urged GameStop to convert its nearly $5 billion cash reserve into Bitcoin, viewing it as a strategic move to redefine the company's market position. In a letter to Chairman Ryan Cohen, Cole emphasized that Bitcoin represents a new hurdle rate for capital deployment, asserting its potential as an inflation hedge. He cited GameStop's recent stabilization and reduced operating losses as a foundation for this transformation. Cole's firm, which holds GME stock in multiple ETFs, believes this pivot could position GameStop as a leader in the gaming sector's financial landscape.
The news about CEO of Strive Asset Management, Matt Cole, calling for GameStop to convert nearly $5 billion in cash to Bitcoin could have positive impacts on cryptocurrencies like Chia (XCH), Io.net (IO), and Ethereum (ETH).
This move could increase interest in other cryptocurrencies. If Bitcoin continues to rise due to GameStop's prominence, this could lead to growth for XCH. Furthermore, if GameStop succeeds in converting its assets to Bitcoin, other companies may also seek to diversify their assets, creating opportunities for Chia.
IO, the impact may be less direct. However, the increased attention on digital assets could provide opportunities for Io.net to attract investment, especially if they have plans related to blockchain or cryptocurrencies. They might also consider partnership opportunities with larger companies in the field to leverage the growing interest.
ETH could benefit significantly from this news. If GameStop or other major companies decide to invest in DeFi or NFTs—of which Ethereum is the main platform—this could boost the value of ETH. The increase in cryptocurrency investments could lead to a wave of Ethereum usage, reinforcing its position in the market.