GameStop Faces Volatility After Bitcoin Investment

According to BlockBeats, GameStop, a publicly traded company, invested $500 million in Bitcoin earlier this year, leading to significant financial fluctuations. The company's third-quarter financial report, released on Tuesday, revealed that the Bitcoin holdings had a book value of approximately $519 million at the end of September, resulting in over $19 million in unrealized profits. However, by the end of the second quarter, the value of these holdings had risen to $528 million, only to record an unrealized loss of $9.4 million due to a price decline. During the third quarter, GameStop neither increased nor sold any of its Bitcoin holdings. In 2025, Bitcoin reached new highs driven by U.S. crypto-friendly policies. Yet, a sharp drop on October 10 led to a 30% decrease from the year's peak, causing industry-wide disruptions. The crash resulted in the forced liquidation of approximately $19 billion in leveraged crypto positions, putting pressure on several publicly traded companies that had benefited from the bull market. Besides GameStop, non-crypto companies have also made significant Bitcoin purchases this year, including Japanese hotel operator MetaPlanet and Trump Media & Technology Group, owned by U.S. President Donald Trump. This trend was influenced by Trump's executive orders to enhance the strategic role of crypto assets within his administration and promote a "light regulation" framework. As the market weakens, these companies are facing serious financial challenges.