GameStop to Launch a Blockchain-based NFT Marketplace

The American video game retailer – GameStop Corp. – partnered with Immutable X Pty Limited (a scaling solution for non-fungible tokens) to establish an NFT marketplace. As part of the deal, both parties created a $100 million fund.

GameStop With an NFT Marketplace

According to GameStop’s announcement, Immutable X will become a layer-2 partner for the former’s NFT marketplace. The project is expected to see the light of day later this year. Immutable X will also provide nearly $150 million in IMX tokens to GameStop upon achieving specific goals.

Anyone willing to become a content creator on the NFT marketplace, including gaming studios, Web3 and Metaverse developers, could apply on GameStop’s website.

The details on the collaboration and other relevant information will be disclosed in Form 8-K with the US Securities and Exchange Commission (SEC).

GameStop signaled its interest in blockchain technology and non-fungible tokens earlier this year when it launched a new division dedicated to cryptocurrency partnerships. Initially, the company hired 20 people to run the unit.

Additionally, GameStop started developing an online hub for video game NFT trading, including items such as outfits and weapons for use in virtual reality.

In September last year, the firm was rumored to be working on an Ethereum-based non-fungible token platform. Back then, Jordan Holberg – Principal Engineer of GameStop – asserted that his organization aims to become the “bridge between the old and the new – traditional legacy e-commerce and the next generation of blockchain.”

The GameStop Saga

The US video game retailer became highly popular last year following a short squeeze of the company’s stocks, causing significant market disruptions.

At the beginning of 2021, GameStop’s shares turned into a frenzy as many people started investing in them inspired by a Reddit group called WallStreetBets. On January 28, 2021, those stocks traded at $483 (an all-time high).

At the heights of the uncontrolled excitement, Anthony Scaramucci – SkyBridge Capital’s Co-Founder – opined that GameStop’s skyrocketing shares are actually positive for bitcoin and decentralized finance:

“The activity in GameStop is more proof of concept that Bitcoin is going to work. How are you going to beat the decentralized crowd? That to me is more affirmation about decentralized finance.”

During the following days and weeks, the frenzy faded, and at the beginning of February, GameStop’s shares dropped to nearly $50 (a decline of around 90%). Currently, they trade at about $100.