GameStop just turbocharged its Bitcoin ambitions. Underwriters fully exercised a “$450 million greenshoe option” this week. This move followed GameStop’s initial $2.25 billion debt offering in mid-June.
The video game retailer has now secured a massive $2.7 billion total. They raised this capital through convertible senior notes. These notes mature in 2032. Investors can convert them into GameStop stock later. The conversion price sits at $28.91 per share. That represents a significant 32.5% premium. It reflects the stock’s average price back on June 12th. Net proceeds after fees are substantial.
Bitcoin Officially Joins GameStop’s Treasury Strategy
What will GameStop do with this enormous cash influx? Officially, the funds cover “general corporate purposes”. At the same time, they also enable specific investments. GameStop updated its formal investment policy earlier this year. This policy now explicitly includes Bitcoin acquisition. The company designates Bitcoin as a “treasury reserve asset”. This strategic pivot began publicly in March 2025. GameStop then made its first major Bitcoin purchase in May. They bought approximately 4,710 Bitcoins then.
That initial investment cost roughly $500 million. It followed another $1.3 billion debt offering. Now, the new $2.7 billion provides immense firepower. GameStop possesses significant resources for further Bitcoin buys.
Following the MicroStrategy Playbook
GameStop isn’t pioneering this path alone. They join a growing corporate trend. Public companies increasingly hold Bitcoin on their balance sheets. Notably, MicroStrategy (MSTR) pioneered this aggressive strategy. Companies like GameStop raise capital through shares or debt. They then allocate portions directly into Bitcoin. This tactic mirrors MicroStrategy’s well-publicised approach.
Michael Saylor, MicroStrategy’s chairman, actively champions Bitcoin. His company holds a vast Bitcoin treasury. GameStop appears committed to a similar, bold path. Their recent filings and actions confirm this direction. The $2.7 billion offer is an incomparable potential scale. Market watchers anticipate significant further Bitcoin accumulation.
GameStop Bets Big on Bitcoin
How has the market reacted to GameStop’s bold moves? The stock price has shown notable volatility. Shares dipped following the May Bitcoin purchase announcement. They also fell after the initial debt offering news. Shares traded around $23.15-$30.73 recently. Investor sentiment seems mixed currently. Some applaud the aggressive treasury strategy. Others express caution about Bitcoin’s inherent volatility.
On the other hand, speculation runs high online. Social media buzzes about potential massive Bitcoin buys. Some users suggest purchases exceeding $2 billion. However, these claims lack official verification presently. GameStop itself hasn’t detailed exact future Bitcoin allocation amounts. Nevertheless, their financial capacity is now undeniable. The company holds nearly $9.1 billion in total cash. Their existing Bitcoin is worth around $492.4 million. This positions them uniquely. Analysts note potential “sum-of-the-parts” value. GameStop’s liquidity per share nears its recent trading price. The coming months will prove crucial. Observers will watch how swiftly GameStop deploys its new billions. Their actions will significantly impact their Bitcoin reserves. This strategy marks a dramatic evolution for the retailer. GameStop is betting big on a digital gold future.
Written By Fazal Ul Vahab C H
