GameStop may be in for the long haul. According to an undisclosed source, the company is looking to create a non-fungible token (NFT) marketplace as early as this year.
GameStop experienced a massive boom in the stock market following a frenzy originating on Reddit in 2021. The sudden wave in buying led to a shortage among hedge funds which only propelled the movement further, causing stocks to skyrocket over 687 percent by the end of that year, CNBC reports.
It’s to no surprise investors have been speculating what the next move may be for GameStop, which reportedly closed nearly 1,000 stores by the end of 2021. Now, Fortune reports, GameStop has shifted its focus from its brick-and-mortar shops to tap into the increasingly popular cryptocurrency wave. And, what’s more, this could be a smart move since the NFT market value is $22 billion, according to The Guardian.
What To Expect From GameStop's NFT Marketplace
Now, Game Stop is housing conversations with crypto and blockchain companies to learn which tokens should be considered as they venture into the marketplace. The Wall Street Journal reports, the marketplace will prioritize virtual game goods which include character outfits and weapons.
“GameStop is in a very unique position, because a lot of these NFT projects are starting to add gaming utility behind the NFTs themselves,” said Adam Hollander, an NFT investor and creator of the “Hungry Wolves” NFT collection, according to CNBC. “GameStop is well positioned, in my opinion, to be able to capitalize on that they have hundreds of millions of people that play video games that least recognize GameStop as a credible brand.”
To advance their efforts, GameStop is rumored to be working with cryptocurrency partners to create various funds totaling around $100 million each. The money will support NFT content creators and gaming companies. In addition, the company is said to have selected 20 individuals to spearhead the gaming company’s cryptocurrency venture, according to the source.
GameStop Witnesses Another Surge
Since it was said that GameStop plans to launch its own crypto marketplace, its stocks have witnessed another surge of more than 10 percent in morning trading and at its peaks shares rose to more than 20 percent, CNBC reports.