GameStop: uncertainty about crypto regulation leads to the closure of the NFT marketplace
In an announcement on the website of GameStop NFT, it is stated that the new decision to close the Non-Fungible Token marketplace is due to uncertainty about crypto regulation.
“Important update. GameStop has decided to close our NFT market due to the ongoing regulatory uncertainty in the cryptocurrency industry. Starting from February 2, 2024, customers will no longer be able to buy, sell, or create NFTs. Your NFTs are on the blockchain and will remain accessible and sellable through other platforms.”
In practice, starting from February 2, 2024, customers will no longer be able to buy, sell, and create NFTs on the GameStop marketplace.
However, this does not mean that NFTs will be removed from the blockchains, and therefore customers will not have any negative impacts on their owned NFTs.
The decision of the company based in the USA refers to the still uncertain regulatory regulation of the crypto space.
The NFT marketplace for gaming by GameStop had opened its doors to the public last November 2022.
The platform was built using ImmutableX, after the partnership had raised a whopping $100 million investment.
GameStop NFT and the closure of wallets in August due to uncertainty about crypto regulation
GameStop had decided to discontinue its native crypto-wallet program last August 2023, due to the uncertainty of regulatory regulation in the crypto space.
In that case, the company’s iOS and Chrome wallet extensions had been withdrawn starting from November 1st.
In order to support its customers in their decision, GameStop had recommended them to ensure access to their “Secret PassPhrase”, so as not to lose their crypto.
With the current decision to also close the NFT marketplace, GameStop seems to be increasingly determined to shut down its activities related to the crypto world.
Moreover, even his social account on X, GameStopNFT, seems to have been inactive since September 2023, even before closing the crypto-wallet program.
GME stocks have not been following the volatile crypto trend for a long time
There was a period when GameStop (GME) stocks were being observed, connecting them to the volatility typical of the crypto trend.
It was January 2021, when GME stocks grew by almost 700% in a month, experiencing a volatility that doesn’t even happen to the price of Bitcoin (BTC) anymore.
The price of GME had seen a surge that on one of those days had seen the price rise from $76 to $147, gaining 93.4%.
From that moment, however, the same GME actions have experienced a long decline. At the time of writing, GameStop shares are worth $14.75.
Source : The Cryptonomist / Jan 16, 2024