GameStop launches its NFT marketplace, but it’s too late as the market is no longer the same it used to be. The demand for NFTs was sky high when the price of cryptocurrencies was also near its ATH. However, in the past 1 year, the demand has subdued, and it will be interesting to see if Gamestop’s NFT marketplace is a success.
Gamestop’s NFT marketplace
The Chairman of Gamestop, Ryan Cohen, has been pushing Gamestop’s business to a different vertical to help it survive. The game retailers have not seen any significant success in a long time, and it shows in their attempt to try new things. It is good that they have entered the NFT market with a marketplace, but it’s too late now. We might see a boom again when crypto markets recover, but before that, trading volume will continue to wither.
It is also important to note that even Ethereum gas fees are at record lows which shows how much the bear market has curbed NFT demand. Gamestop plans to tap into the existing market of gamers who are often NFT enthusiasts as well. However, when well-known platforms like Opensea exist, it will be interesting to see how Gamestop does it. Even after being the largest NFT platform, it has seen a 70% month-over-month decline in trading volume.
Gamestop is primarily a video game retailer and also sells merchandise related to gaming. They have their base in Grapevine, Texas. It became popular during the 2021 rally that pushed its price to new highs. It also took the entire wall street by surprise. Gamestop has 4,573 stores in total, with the majority being in the United States (3,018). There are also 231 stores in Canada, 907 in Europe, and 417 in Australia.
The company has been struggling since 2010 as gamers shift from physical CDs to online downloads. Despite this, the rally that happened in 2021 had pushed its prices so high that even after consolidation, it has given quite some returns to investors. And due to this, Gamestop is also the 521st company on the Fortune 500 list.
Do you think the demand for NFTs will ever soar like before again? And what are your thoughts as GameStop launches its own NFT marketplace? Let us know in the comments below. Also, if you found our content informative, do like and share it with your friends.
Also Read: Swiss post office plans to offer crypto services by 2024.