GameStop NFT Marketplace Closes Due to Crypto Regulation Uncertainty
GameStop has announced the closure of its NFT marketplace, citing uncertainty surrounding crypto regulation. Starting from February 2, 2024, customers will no longer be able to buy, sell, or create NFTs on the platform. However, existing NFTs will remain accessible and sellable through other platforms as they are stored on the blockchain.
Background: GameStop’s Venture into NFTs
Last November 2022, GameStop launched its NFT marketplace for gaming. The platform was built using ImmutableX and received a significant $100 million investment. However, due to ongoing regulatory uncertainties in the crypto space, GameStop has decided to shut down its activities related to cryptocurrencies.
Closure of Wallets and Inactivity on Social Media
In August 2023, GameStop discontinued its native crypto-wallet program due to regulatory concerns. It also seems that the company’s social media account for its NFT venture has been inactive since September 2023. These moves suggest that GameStop is determined to exit the crypto industry entirely.
GameStop Stocks and Crypto Volatility
In January 2021, GameStop stocks experienced significant volatility similar to that seen in the crypto market. The stocks surged by almost 700% in a month but have since declined. Currently, GameStop shares are valued at $14.75.
Hot Take: GameStop’s Exit from the Crypto Space
GameStop’s decision to close its NFT marketplace reflects the challenges posed by regulatory uncertainties in the crypto industry. This move follows the discontinuation of its crypto-wallet program and inactivity on social media platforms. It appears that GameStop is no longer interested in participating in the crypto space. The closure of its NFT marketplace signifies a significant shift away from cryptocurrencies for the company.
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