By: Shane Weston
January 9th, 2022
On Friday, Gamestop's (GME) shares jumped 7.3% as news broke out that they would create a division within their company to develop a marketplace for nonfungible tokens. The meme stock still isn’t near it's all time high after last years Reddit madness, but this announcement could bring a more positive outlook for the struggling company.
Last year, we saw a change within the company’s executive team and even named a new chairman, Ryan Cohen. Cohen has tried to put together different avenues for the company due to the impact the pandemic had in which most of their stores were shut down. As a new avenue, it is also planned that they will begin cryptocurrency partnership to create games and items for the marketplace. Adam Hollander, an NFT investor and creator of the "Hungry Wolves" NFT collection had surprising comments about this development. He states, "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.”
As the video game industry moves towards consumers using online marketplaces to buy and stream games, Gamestop may have just found a great opportunity to help create growth for their business.