GameStop Ceases Cryptocurrency Wallet Services Amid Crackdown
GameStop Crypto
Summary: GameStop, a major US video game retailer, announced discontinuation of all cryptocurrency wallet services due to regulatory uncertainties. The company said it was making the change on November 1, 2023. The SEC has taken anti-crypto enforcement measures against the crypto sector with lawsuits against major crypto firms.
Key Takeaways:
- The company said it was making the change on November 1, 2023.
- It was in May of 2022 when the first wallet for cryptocurrencies and NFTs was released.
- The U.S. SEC has taken anti-crypto enforcement measures against the sector.
GameStop, a major video game retailer in the U.S, has chosen to cease all cryptocurrency wallet services in light of the continued wave of regulatory crackdowns against the cryptocurrency industry in the country.
The company said it was making the change on November 1, 2023 due to regulatory uncertainties. It was in May of 2022 when the first wallet for cryptocurrencies and NFTs was released. The GameStop NFT Marketplace debuted shortly thereafter.
Regulatory Scrutiny
Bloomberg noted that the company has not provided any information or updates on the growth of the NFT marketplace’s crypto wallet business. Given the regulatory ambiguity surrounding cryptocurrency, this suggests the merchant was considering pulling out of the wallet business.
The U.S. SEC has recently taken anti-crypto enforcement measures against two of the biggest names in the cryptocurrency market: Binance and Coinbase. The financial watchdog claims all cryptocurrencies except Bitcoin are securities. Despite the recent partial success of XRP, the war is still on. The SEC hinted of appealing the judgment.
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The company’s website states that the GameStop crypto wallets for iOS and Chrome will be discontinued on November 1, 2023. The retailer hasn’t provided any other information about the regulatory uncertainty’ it cites as the basis for ending the service, though.
