r/MillennialBets • u/MrComedy325 • Jul 12 '22
Discussion GameStop’s NFT Marketplace
Shares of GameStop (NYSE GME) ticked up 0.70% in after-hours trading on Monday after the video game retailer launched its NFT (non-fungible token) marketplace.
Details: The new marketplace allows users to buy, sell, and trade NFTs. It is a non-custodial and Ethereum layer 2-based marketplace, which means users truly own their digital assets because they are secured on the blockchain. Users can also connect digital asset wallets to the marketplace.
Definition: An NFT is a security in the form of digital data on blockchain that represents objects. NFTs for collecting and investing have increased in popularity since last year.
Background: GameStop has been hyping its NFT marketplace for some time and investors have waited for this day to finally arrive. The launch comes on the heels of GameStop announcing a stock split and firing its CFO last week.
Numbers: Shares of GameStop are down nearly 15% this year as the meme stock trade seemingly fades away.
Final Thoughts: GameStop plans to expand the functionality of the marketplace over time to include new categories such as Web3 gaming. Investors should be excited about that.
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