GameStop is investing in bitcoin.
On Wednesday, the video game retailer disclosed an acquisition of 4,710 bitcoin.
It marks GameStop’s first time buying the cryptocurrency following the company revising its investment policy to include bitcoin as a “treasury reserve asset.”
The 4,710 bitcoin that GameStop bought had a value of $505 million as of Wednesday.
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The purchase comes nearly two months after the video game retailer completed a private offering of 0.00% convertible senior notes that fetched $1.48 billion in net proceeds.
GameStop said in a Securities and Exchange Commission filing about the offering that the net proceeds would be used for “general corporate purposes, including the acquisition of Bitcoin in a manner consistent with the Company’s Investment Policy.”
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In late March, the video game retailer revised its investment policy so that a “portion of our cash or future debt and equity issuances may be invested in Bitcoin.” That move was unanimously approved by its board.
“We have not set a maximum amount of Bitcoin we may accumulate, and may sell any Bitcoin we may acquire,” GameStop said at the time.
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The video game retailer, which operated over 3,200 stores globally at the beginning of February, has been struggling in recent years.
Its market capitalization was approximately $14.3 billion as of Wednesday.
