GameStop, the 2021 short squeeze icon, has roughly $1.5 billion to begin acquiring Bitcoin for its treasury after completing its private offering of five-year convertible notes. The company announced last week its plan to add the world’s oldest and largest crypto to its balance sheet. GameStop Successfully R aises $1.5B For BTC Shopping Spree In an April 1 filing with the U.S. Securities and Exchange Commission, GameStop disclosed it had completed its recently announced offering of $1.5 billion in 0% convertible senior notes due 2030, including the full exercise of the initial purchaser’s option to purchase an additional $200 million in notes. Net proceeds to the controversial video game retailer after discounts for the initial purchaser and company expenses were $1.48 billion. “The company expects to use the net proceeds from the offering for general corporate purposes, including the acquisition of Bitcoin in a manner consistent with the Company’s Investment Policy,” GameStop wrote. On March 25, GameStop confirmed that it had secured board approval to invest in Bitcoin and US-backed stablecoins using the notes and its idle cash. The company held around $4.7 billion in cash reserves as of Feb. 1, compared to $921.7 million a year earlier, as ZyCrypto had covered. By selling convertible senior notes to fund Bitcoin buys, GameStop is taking a page out of the playbook of Strategy, the Nasdaq-listed company with the biggest amount of BTC in its treasury. As of publication time, Strategy’s stash currently stands at an eye-popping 528,185 BTC , or nearly $45 billion worth, since it began buying the apex crypto in 2020. In February, GameStop CEO Ryan Cohen posted a photo of himself with Strategy co-founder and Executive Chairman Michael Saylor, an outspoken proponent for corporate Bitcoin treasury reserves. GameStop’s strategic Bitcoin pivot could help the company’s languishing core business and offer a chance to strengthen its financial standing in the competitive market. Since President Donald Trump’s return to the White House, an increasing number of public companies have started converting their cash reserves to Bitcoin. The bullish trend is boosted by Trump’s pro-crypto agenda and his government’s commitment to fostering a friendlier regulatory environment for the crypto sector.
