Alongside its fourth quarter earnings report, the company said its board unanimously approved adding bitcoin as a treasury reserve asset.
GameStop (NYSE:GME) has added its name to the quickly-growing roster of publicly-traded companies adopting a bitcoin treasury strategy.
Alongside its fourth quarter earnings report, the company said its board unanimously approved adding bitcoin as a treasury reserve asset.
The company also announced a new share buyback program of up to $1 billion.
Earlier in the year, CEO Ryan Cohen sparked rumors of a bitcoin purchase after he posted a picture of himself and Strategy (NASDAQ:MSTR) Executive Chairman Michael Saylor at Donald Trump's Mar-a-Lago.
Several days later, Strive Asset Management CEO Matt Cole sent a letter to Cohen urging GME to use at least part of its more than $5 billion of cash on hand to purchase bitcoin. Co-founded by Vivek Ramaswamy, Strive is an owner of GME through its ETFs.
"We believe GameStop has an incredible opportunity to transform its financial future by becoming the premier bitcoin treasury company in the gaming sector," wrote Cole.
Cohen further raised eyebrows when he tweeted out, "Letter received."
GME shares are up 5.7% in after hours trading. Bitcoin has gained a bit on the news, now trading at $88,500.
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