GameStop has moved into the crypto space with a bold financial move. The company completed a $1.5 billion private fundraising round on April 1, according to a US SEC filing.
The funds were invested in 0.00% convertible senior notes, due April 1, 2030. Priced at $1,000 per note, these investments carry no interest and maintain their original value.
Stock Performance and Bitcoin Strategy
GameStop’s (NYSE: GME) stock climbed 0.57% to $22.74, despite dropping from $28.36 to $22.09 on March 27 after revealing plans to build a Bitcoin reserve.
The company set an initial conversion rate of 33.4970 shares per $1,000, valuing each share at $29.85. The rate may adjust in special circumstances, such as corporate events.
GameStop can’t redeem the notes until April 6, 2028. After that, redemption is possible if the stock trades at 130% of the conversion price for 20 out of 30 trading days. Investors may also request repurchase in April 2028 or after a fundamental change.
However, the notes are unsecured and carry default risks, including missed payments, conversion failures, or major company restructuring. If converted, GameStop may issue up to 69 million new shares.
Will GameStop Join the Biggest Bitcoin Whales?
With its new Bitcoin investment plan, GameStop could join major crypto holders like MicroStrategy, Tether, and the US government.
At current prices, GameStop could acquire over 17,700 BTC. Bitcoin is trading at $84,400.
Meanwhile, MicroStrategy leads the market with 528,185 BTC, valued at $44.5 billion, according to Saylor Tracker. The firm purchased 22,048 BTC on March 31.
Tether has also been increasing its holdings, acquiring 8,888 BTC ($735 million) in Q1 2025. Its total Bitcoin reserve now stands at 92,647 BTC ($7.64 billion).
