GameStop Corporation (GME) experienced a stock surge after updating its corporate investment policy to include Bitcoin, leading to increased share prices in extended trading. The board unanimously approved the decision to incorporate Bitcoin into its investment strategy, following rumors last month about the retailer’s potential interest in cryptocurrencies.
This announcement came after CEO Ryan Cohen posted a picture with Michael Saylor, cofounder of Strategy (formerly MicroStrategy), the largest corporate holder of Bitcoin. At the time of the announcement, Bitcoin was trading just under $88,000.
Following the news, GameStop shares jumped more than 6% in after-hours trading. Despite this rise, the stock had declined approximately 19% for the year up to the market close.
— news from Investopedia