Many of us might remember GameStop as the local video game store in your town’s strip mall. You might have even gone there as a kid to get your first Nintendo GameBoy, DS, Wii (I know I did!). Fast forward to 2022 and GameStop is rethinking the way they do business to stay relevant (and solvent) in a rapidly changing and complex economy. What does this look like? Well, like NFTs, of course.
Now, the company’s focus is to shift more towards hot trends like NFTs (non-fungible tokens – you can read more about NFTs and how they tie into cryptocurrencies here). Think of an NFT as a digital token or digital art, which may represent a physical object. Heck, the first ever NFT house was just recently sold in Florida!
According to some retail industry-watchers, it’s expected that NFTs will be a hot holiday gift. About half a million NFTs are expected to be purchased from retailers between November and December 2022, translating to a total market value of $54 million, according to CNBC.
Let’s jump in and talk more about why this change is significant and what it means.
Video Game Giant Turns to NFTs
On Monday, July 11th, 2022, GameStop announced the launch of their new “NFT” marketplace. Simply put, this means that gamers, creators, collectors, and community members alike can now choose GameStop as the platform to trade, buy, and sell NFTs. The cryptocurrency blockchain technology is what’s used to make these NFT transactions.
What’s more? Gamers and crypto enthusiasts can now also sign up for GameStop Wallet (still in beta), where you can store cryptos and your NFT purchases securely and utilize decentralized applications, all in a self-custodial account.
The path GameStop is taking is a far cry from their original brick and mortar business model where traditionally, they just sold physical video games and consoles, in-person. Now, it’s onto NFT trading, the newest digital frontier we’re all curious about.
Not only is GameStop aiming to revolutionize their business, they’re getting customers and followers alike excited about the new platform via Twitter:
Everyone remembers their first NFT.
What was your first? Show us in the comments, and tell us how you came to acquire it! (or create it!)
— GameStopNFT (@GameStopNFT) July 18, 2022
Gone are the days of “everyone remembers their first” Neopet or Beanie Baby. Gen Z will have a lot of “firsts” (including their first NFT collectible) that Millennials, Gen X, and Baby Boomers alike might just be astonished by!
What is Immutable X?
Immutable X is one of the latest developments in NFT technology, coming soon to GameStop’s new NFT Marketplace.
According to Binance Academy, Immutable X is a layer-2 scaling solution for NFTs on Ethereum. It offers instant trade confirmation and near-zero gas fees for minting and trading NFTs. Users can easily create and trade NFTs without compromising the security of their assets. GameStop’s adoption of Immutable X will bring access to millions of “world class gaming assets” to the GameStop NFT marketplace. This next-level crypto technology is even 100% gas-free and promotes carbon free NFT creation.
So, not only is GameStop staying ahead of the curve when it comes to the evolving NFT space, they’re also working to adopt the most cutting edge technology as it relates to cryptocurrency. I have a feeling their platform is going to take off and thrive!
How You Can Get Started Investing in Cryptocurrencies
Ready to enter the crytocurrency and NFT space? Some of the most common ways to purchase are through a cryptocurrency exchange like Coinbase or Gemini or on an online trading platform like Robinhood. Check out the table below to learn more about each platform:
|Platform||Founded||Best Reasons To Sign Up|
|Coinbase||2012||One of the largest cryptocurrency exchanges in the world. You'll get access to a wide variety of both common and uncommon cryptocurrencies.|
|Gemini||2014||The world's first licensed Ether (Ethereum) exchange. Start investing with as little as $5 and earn interest on certain cryptos.|
|Robinhood||2015||Commission-free trades on all cryptocurrencies, like Bitcoin and Ethereum, as well as stocks and ETFs. You can buy, sell, and hold cryptos and traditional investments all in one platform.|
It’s important to remember that the cryptocurrency market is extremely volatile and investing in crypto isn’t for the risk averse. It’s advisable not to invest more than 5% of your assets in cryptocurrency and instead be sure to channel money to pay off high interest debt or save for retirement first.
The Bottom Line
The rise of NFTs, cryptocurrencies, and the digital economy is only just beginning. In no time, other retailers like GameStop who are seeing changes in business trends will likely create their own NFT marketplaces to stay competitive. And with the rise of NFTs will also be the increase in value of cryptocurrencies, like ETH. My take? These new advancements will not stop and instead will continue to shape our world. Stay informed and educate yourself on all things NFTs and cryptos so you can stay ahead of the curve and make informed, smart financial decisions.