Strive CEO Urges GameStop to Invest $5 Billion Cash Reserve in Bitcoin
GameStop (GME) has been urged to adopt Bitcoin as a strategic treasury asset, with Strive Asset Management CEO Matt Cole calling it a move that could redefine the company’s financial future.
In a letter sent on Feb. 24 to GameStop Chairman and CEO Ryan Cohen, Cole argued that the company’s $5 billion cash reserve presents a unique opportunity to position itself as a market leader in Bitcoin adoption within the gaming industry.
“We believe GameStop has an opportunity to solidify its place as a forward-thinking company by embracing Bitcoin as a reserve asset,” Cole wrote.
Strive Asset Management, co-founded by Vivek Ramaswamy, manages multiple exchange-traded funds (ETFs) that include GameStop stock, giving it a vested interest in the company’s success. However, the letter did not disclose the exact number of shares held.
Cole’s call comes amid rumors that GameStop has been considering alternative investments, including Bitcoin and other digital assets. Over the past two years, the company has successfully cut operating losses and maintained financial stability through interest income on its cash holdings.
According to Cole, holding cash exposes GameStop to negative real returns, whereas Bitcoin offers a hedge against inflation and long-term monetary debasement. He urged the company to focus solely on Bitcoin, avoiding investments in other cryptocurrencies, and suggested that GameStop could leverage capital markets through stock offerings and convertible debt, similar to strategies used by MicroStrategy, MARA Holdings, and Semler Scientific.
Several publicly traded companies that integrated Bitcoin into their corporate strategy have seen significant stock price appreciation, Cole noted, adding that GameStop could benefit similarly by taking a bold, forward-thinking approach.
The letter also praised GameStop’s cost-cutting measures, including closing underperforming stores and rejecting diversity, equity, and inclusion (DEI) initiatives.
“GameStop’s leadership in eliminating unnecessary expenses and rejecting DEI policies has strengthened its position. A Bitcoin strategy would further cement its future,” Cole concluded.
