GameStop Abandons Crypto As Q3 Losses Reach $95M

blockchain.news:

Although the gaming firm has taken steps to reduce its exposure to cryptocurrency activities, it appears to be continuing to move forward with initiatives connected to non-fungible tokens (NFTs) and blockchain technology.

After recording a net loss of $94.7 million during the third quarter and laying off workers from its digital assets section, gaming retailer GameStop has announced that it would no longer concentrate any efforts on cryptocurrency.

GameStop's Chief Executive Officer, Matt Furlong, stated on an earnings call on December 7 that the company has «proactively limited exposure to cryptocurrencies» over the course of the previous year and «does not currently own a meaningful amount of any token.»

The firm said earlier this year that it was looking into crypto, nonfungible tokens (NFTs), and Web3 apps as potential paths for development. The company described these areas as being «increasingly important for gamers of the future.»

In the future, GameStop will place a greater emphasis on collectibles, used game systems, and previously owned things.

In a filing made with the Securities and Exchange Commission on December 7, the company stated that it is «also pursuing, and plan[s] to continue to pursue, other business and strategic initiatives associated with digital assets and blockchain technology.» These statements give the impression that the company is still moving forward with its plans to make moves in the non-fiat currency space.

Following a public beta launch in July, GameStop brought a number of Web3-related products to market, the most recent of which was its NFT marketplace, which went live on October 31 on ImmutableX, an Ethereum layer-2 blockchain. This came after GameStop pushed a number of other