Game developer GameStop is limiting its crypto-related investments.
The crypto market, which has been going on since the middle of the year and fluctuating with the latest crises, puts many companies in a difficult situation. GameStop recently announced that it has started layoffs due to the current bear market. The company stated that it was reducing its crypto engagement following the release of its third-quarter balance sheets.
GameStop Minimizes Crypto Investments
GameStophas limited its crypto-related investments and does not hold enough cryptocurrencies to put the company in trouble.
The game developer announced in June that it will start crypto and NFT activities for growth. However, the crypto exchange, which has since declined further due to the crises, has put the company in trouble. First it started layoffs, now it’s curbing its crypto investments.
GameStop recently released its third quarter financial statement for 2022, showing a loss of approximately $95 million. This is the most important reason why the company has made a U-turn on crypto.
CEO stating that the firm is proactively limiting exposure to crypto and currently does not own any significant amount of tokens Matt Furlong, said:
“While we continue to believe there is long-term potential for digital assets in the gaming world, we have not and will not risk any meaningful shareholder capital in this space.”
