GameStop CEO Ryan Cohen Met with Michael Saylor to Discuss Using Bitcoin as a Treasury Asset

GameStop CEO Ryan Cohen met with Michael Saylor of Saylor's Strategy (formerly MicroStrategy) to discuss using Bitcoin as a treasury asset, as the company sits on a $4.6 billion cash reserve.

GameStop (NYSE:GME) CEO Ryan Cohen met with Michael Saylor of Saylor's Strategy (formerly (NASDAQ:MCRF) (formerly known as MicroStrategy)) to discuss the possibility of using Bitcoin as a treasury asset.

As the company is sitting on a $4.6 billion cash reserve, which might be better invested in anything other than cash in the current macroeconomic climate, the meeting has sparked rumors of a potential GameStop Bitcoin buying spree.

The company's shares increased by 35% following a report by the British tabloid, The Sun, which stated that the company's management is planning to make a large-scale investment in Bitcoin.

The report also mentioned a meeting between Cohen and Saylor, the founder of Saylor's Strategy, to discuss the company's interest in Bitcoin.

The report further claims that the hedge funds are targeting a Bitcoin price of $100,000 by the end of the year.

However, it's important to note that neither company has confirmed these reports at this time.

Why Is GameStop Investing In Bitcoin A Big Deal?

The company's new investment policy, which was approved by the board of directors earlier this year, allows Cohen and other board members to manage a securities portfolio.

This grants them the authority to invest in Bitcoin or other digital assets, provided it adheres to the board's guidelines.

Earlier in the year, GameStartup closed its crypto wallet service due to "regulatory uncertainty," despite launching it in 2022 to enable users to manage crypto and NFTs.

The timing for GameStop to enter the Bitcoin space could be perfect. With Bitcoin becoming more widely accepted as a corporate treasury asset and new accounting rules making it easier for companies to hold Bitcoin on their balance sheets, Bitcoin could significantly change GameStop's financial trajectory - and its stock price.

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