GameStop is working hard to launch its NFT marketplace by the end of the second quarter. This would place it on par with key competitors like as OpenSea and Coinbase.
Last year, the community rescued GameStop from what appeared to be a long and torturous death at the hands of ruthless Wall Street hedge funds. Now, GameStop wants to give back and leverage on this second chance by launching an NFT marketplace to serve gamers, crypto fans, and tech enthusiasts.
GameStop, an American video game store, said on March 17 that it plans to establish an NFT Marketplace by the end of the second quarter of 2022.
According to its Q1 report, the marketplace would be powered by Immutable X, a Layer 2 protocol operating on the Ethereum network that would allow NFT to be exchanged immediately with transaction scalability of 9,000 operations per second and would not charge any fees to its customers.
GameStop said on February 3 that the marketplace will be available by the end of 2022; but, according to the current rumor, the launch date has been changed to late July of this year.
GameStop, on the other hand, announced the establishment of a $150 million fund in IMX tokens — the official cryptocurrency of Immutable X — that would be distributed to the corporation upon the achievement of particular objectives. A portion of the money will also be utilized to give financial assistance to platform content creators and developers.
GameStop has already engaged hundreds of experts with expertise in gaming, blockchain, e-commerce, and other areas of technology, so the marketplace may arrive sooner than expected.
Early last year, GameStop shares enjoyed a more than 100% daily rise when many Reddit users banded together to buy the company’s stock in order to punish Wall Street investors. This adventure resulted in the “mother of all short squeezes” in Reddit’s forums.
Although the move by Reddit users was short-lived, it drove the company’s stock price from $17 to a high of over $482. Yes, the stock dropped immediately after, but it is now trading at $87 – a big increase all things considered.
Because of such an approach, GameStop was able to rebound from a multi-year downturn that had reduced its stock price to $2.5. It also assisted the corporation is generating $2.254 billion during the most recent fiscal quarter.
Although the announcement of a marketplace may excite many users who are committed to the company’s success, the truth is that they will soon be competing with big names in the cryptocurrency industry such as Binance, FTX, OpenSea, and a new renowned competitor such as Coinbase, so competition will be fierce.
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