GameStop is shifting away from its brief cryptocurrency experiment as CEO Ryan Cohen sets his sights on a “very, very, very big” acquisition in the consumer sector. On Friday, Cohen described the potential deal as “transformational,” telling CNBC that it could redefine both the company and the broader capital markets.
“It’s transformational. Not just for GameStop, but ultimately, within the capital markets … this is something that really has never been done before within the history of the capital markets,” Cohen said.
Bitcoin exit hints at strategic pivot
The company appears prepared to liquidate its Bitcoin holdings, according to blockchain analytics firm CryptoQuant. In late January, GameStop transferred its entire 4,710 BTC to Coinbase Prime, a move typically associated with preparing assets for sale. GameStop purchased Bitcoin between May 14 and 23, 2025, at an average price of roughly $107,900 per coin, representing a $504 million investment. With BTC currently around $78,619, the position carries approximately $183 million in unrealized losses.
GameStop throws in the towel?
— CryptoQuant.com (@cryptoquant_com) January 23, 2026
Their on-chain wallets just moved all BTC holdings to Coinbase Prime, likely to sell.
Between May 14–23, 2025, they bought 4,710 BTC at an avg. price of $107.9K, investing ~$504M.
Now selling for around $90.8K, potentially realising approximately… pic.twitter.com/Bp7MwRVQ43
Cohen did not confirm whether GameStop would sell its Bitcoin to finance an acquisition. Instead, he described his new strategy as “way more compelling than bitcoin,” comparing it to Berkshire Hathaway’s approach but on a compressed timeline.
Targeting undervalued consumer companies
Cohen said he aims to identify an undervalued, high-quality consumer company with a “sleepy management team” and apply operational efficiencies honed at Chewy and GameStop to maximize profitability.
“We can go in there and apply the Chewy and GameStop mindset of brutal efficiency and increase the profitability of the company very, very quickly,” Cohen said. “We could capture a lot more value by focusing on this under-optimized asset.”
High stakes for Cohen and shareholders
GameStop’s ambitious plan comes with personal stakes for Cohen. Earlier this year, the company unveiled an equity incentive that rewards him only if GameStop reaches a $100 billion market capitalization and $10 billion in cumulative EBITDA. The plan provides no payout if the company fails to meet the minimum thresholds of a $20 billion market cap and $2 billion cumulative EBITDA. Cohen acknowledged, “If it works, it’s genius. If it doesn’t work, it will be totally, totally foolish.”
Financial turnaround under Cohen
Since taking over as CEO in September 2023, Cohen has transformed GameStop into a profitable operation. Gross margins have risen by seven percentage points, and net income climbed to $77.1 million in the most recent quarter, up from a $3.1 million loss before his tenure. The company posted consecutive annual profits in fiscal 2024 and 2025 after five straight years of losses.
War chest redirected toward acquisitions
The pivot away from Bitcoin aligns with Cohen’s broader strategy to redirect GameStop’s more than $9 billion cash and marketable securities war chest toward acquisitions. Michael Burry, the investor who famously bet against the U.S. housing market in 2008, praised Cohen’s approach in a Substack post, calling it “making lemonade out of lemons” and noting that Cohen is capitalizing on the meme-stock phenomenon to position GameStop for a major acquisition.
Despite the optimism, some investment bankers remain skeptical that GameStop can identify a consumer company capable of dramatically increasing its market value.
“I’ve never seen it,” one banker told CNBC. “Unless you’re talking about radically transforming a business model or something, it just doesn’t happen in retail.”
Stock reaction and next steps
GameStop shares rose 8.25% on the day following Cohen’s comments, trading around $25.85. The company will provide further updates during its next earnings call on March 24. The potential Bitcoin sale signals an end to a short-lived treasury experiment and highlights the company’s commitment to Cohen’s high-stakes transformation strategy.
Anastasiia G
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