GameStop Pledges Majority of Bitcoin Holdings to Coinbase Credit

GameStop has made the decision to pledge most of its 4,710 bitcoin to Coinbase Credit as collateral for a covered-call strategy. This move is part of a larger trend in the market where companies are selling part of their bitcoin stockpiles due to increasing price volatility.

The gaming and collectibles retailer was once the 21st-largest bitcoin treasury company but has since dropped to 190th after pledging most of its holdings. GameStop's decision comes as several other companies, including Empery Digital and GD Culture Group, have also sold part of their bitcoin reserves in recent months.

Other notable companies that have sold part of their bitcoin stockpiles include Cango, which sold 4,451 BTC to reduce its finance leverage, and Riot Platforms, which sold around $200 million worth of bitcoin in November and December. Despite this trend, GameStop has left the door open to resume its bitcoin accumulation strategy, stating that it intends to use net proceeds from its convertible 2030 notes for general corporate purposes, including the acquisition of bitcoin.