GameStop’s Bitcoin Move Looks Bold—But It Might Be Brilliant
- GameStop’s Bitcoin move left many scratching their heads. But behind the confusion is a clear, calculated strategy that more CFOs should be watching closely.
By Nick Ward — March 26, 2025
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This week, GameStop quietly updated its investment policy to include Bitcoin as a treasury reserve asset. With approximately $4.78 billion in cash—nearly 37% of its $12.9 billion market cap—this move marks more than just a diversification of reserves.
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For companies with material cash holdings, the erosion of purchasing power is no longer theoretical—it’s measurable. Over the past decade, the U.S. dollar has declined in real terms by more than 25%, driven by inflation, expansionary monetary policy, and global fiscal uncertainty.
Bitcoin presents a compelling counterweight to this degradation, particularly for balance sheets with the flexibility to tolerate mark-to-market volatility in pursuit of long-term strategic payoff.
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Now a corporation doing this can spend resources ensuring the security of its assets.
However, the average consumer retail type needs to be extremely careful not to lose their “wallet”.
Considering the 25% loss of purchasing power over 5 years, that can put a hole in anyone savings.
It’s the same problem as Social Security “Insurance” (see my many rants about that — the prepaid Death Tax). You pay in with “good” dollars say in 1970 and get out “bad” dollars that have lost 90+% of their purchasing power.
Given the state of Gooferment finances (i.e., the current 140T+ national debt and the guesstimated 200T+ in unfunded liabilities that our posterity will have to deal with) how does one preserve wealth in this disastrous era.
I, personally, have some savings, but not enough, in ₿itcoin, gold, silver, and Goldbacks. As always YMMV.
How does the consumer, to use a military term, “get small in your hole”? Where is your “underground bunker” for this “tornado”. Everyone should have one.
In the pre-1913 era, you could save your gold dollars in jar or bury some in your back yard. Then in your old age you’d find that the money had actually increased a little in purchasing power. What can you do today?
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