GameStop Plans to Launch NFT Market

Rancakmedia.com – Is it true that GameStop launched the NFT marketplace? According to a person familiar with the situation, GameStop plans to launch a marketplace for player non-fungible tokens (NFT) before the end of the year, sending the struggling game retailer's shares skyrocketing in extended trading.

The company, which is in the midst of a turnaround to focus on digital sales rather than brick-and-mortar stores, is also in talks with crypto and blockchain firms.

About which tokens can be used in NFTs market, the person said, asking not to be named discussing details that have not been made public.

It is also exploring with prospect partners to launch a number of funds, up to US$100 million each, to invest in NFT content producers and gaming companies.

According to the person, GameStop had put together a team of over 20 workers in the previous few months to concentrate on cryptocurrency endeavors.

The Wall Street Journal previously reported on GameStop's crypto and NFT plans. Shares jumped 29 percent in extended trading.

GameStop Launches NFT Market

GameStop Launches NFT Market

Investors have been waiting for months to hear more about GameStop's plans from Chairman Ryan Cohen, the co-founder of pet supply company Chewy who joined the board earlier this year with the aim of reigniting growth.

In addition to the effects of the Covid-19 outbreak, which closed retail stores, the Grapevine, Texas-based company was hit hard by the migration to digital downloads from traditional game cartridges.

Retail investors who banded together on internet forums like Reddit to promote the company last year raised their prices by about 700 cents despite the fact that there was no fundamental basis to sustain those increases.

Years of declining sales have been documented by the company. The biggest market for NFTs, OpenSea, has experienced a surge in sales this year, with monthly sales volume reaching US$3.4 billion in August, up from US$96.7 million in February, according to Dune Analytics.

The 2.5 cent deduction from each transaction is how the company makes its money. Seeing this attraction, many new NFT marketplaces have sprung up in recent months trying to recruit consumers. Already, GameStop has millions of loyal customers it can bring to its own store.

Conclusion:

GameStop plans to launch a marketplace for player non-fungible tokens (NFT) before the end of the year. The company is in the midst of a turnaround to focus on digital sales instead of brick-and-mortar stores.

It is also exploring with prospect partners to launch a number of funds, up to US$100 million each, to invest in NFT content producers and gaming companies.

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