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GameStop shares surge after NFT division unveiled

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Following The Wall Street Journal (WSJ) report on its forthcoming non-fungible token (NFT) division, the share price of gaming merchandise retailer GameStop (GME) surged.

Since May, the US retail game store has been discreetly developing an NFT marketplace. Later in October, it announced multiple job vacancies for Web3 and NFT-experienced software engineers and product marketers.

As a consequence of the r/wallstreetbets and Robinhood saga earlier this year; the company’s GME stock has become a cult favorite among retail traders. The r/Superstonk group on Reddit has 659,000 members and is dedicated to conducting GME-related business and stock conversations. Moreover, GameStop has hired more than 20 people to run its newly formed NFT unit, according to WSJ.

Allowing users to buy, sell and trade of gaming NFTs

According to a person familiar with GameStop’s plans; the company is developing an NFT platform that will allow users to buy, sell and trade gaming NFTs; as well as forming crucial cryptocurrency alliances.

Thus, the marketplace expected to launch later this year. In addition, the company is close to inking deals with two crypto firms; to share technology and co-invest in the development of blockchain and NFT games; as well as other NFT ventures.

According to TradingView, the news was well-received by after-hour traders; who increased the price of GME by 26% since the market closed to $162.48 at the time of writing. Due to a lack of liquidity in the market, after-hours trading is typically highly turbulent, although it has a similar impact on a stock’s price as regular trading.

Raising the interest of some more conspiracy-minded GME fans

WSJ’s absence of identifiable sources or official confirmation from GameStop, on the other hand, has raised the interest of some more conspiracy-minded GME fans. For example, user u/brettmagnetic questioned whether WSJ article could actually have that much of a bullish effect on after-hours GME trading in a post that has 1,100 comments and a 97% upvote ratio on the r/Superstonk Reddit community.

“Sorry, but I don’t believe the movement in price after hours has to do with the WSJ posting about the Gamestop NFT market. I think something else is happening and this article was put out to give the NFT market as the scapegoat for the price increase.”

Redditor u/MrFlags69 expressed similar opinions, arguing, “The author credited ‘the people’ as the only source I saw. This is anything but journalism.”

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