the game retailer GameStop partners with US crypto exchange FTX US to attract more customers to crypto and work together on online marketing initiatives.
In a statement on September 7, the game retailer noted that the new partnership will introduce GameStop customers to the FTX ecosystem, including its digital asset markets, while making the retailer the “preferred retail partner of FTX in the United States.”.
The association will also some GameStop stores have FTX gift cards. As of August 31, there were 2,970 GameStop stores in the United States..
In his earnings call for the second quarter of the year, GameStop CEO Matt Furlong said the new deal aims to establish something “unique” in the retail space..
The deal we just announced with FTX is a by-product of our commerce and blockchain team working together to establish something unique in the world of retail.
GameStop did not disclose the financial terms of the partnership in its statement..
News of the new partnership came on the same day that GameStop released its financial results for the quarter. which ended on July 30, 2022.
Despite GameStop reporting a nearly 4% decline in net sales to $1.14 billion in the quarter, GameStop shares managed to rise nearly 12% in post-news trading, hitting $26.84 per share.
GameStop has significantly stepped up its Web3 efforts this year after introducing an NFT and Web3 gaming split in January, as well as launching its NFT marketplace on July 11 in partnership with Ethereum (ETH) scaling solution Immutable X.
Furlong noted during the earnings call that the launch of their marketplace “supports GameStop’s pursuit of long-term growth in cryptocurrencies, NFTs, and Web3 games” which they hope will become increasingly important to gamers and collectors.
The marketplace is a “non-custodial marketplace, based on Ethereum layer 2” that allows users to connect their own digital asset wallets, such as the recently launched GameStop Wallet..
GameStop noted that sales attributable to its digital collectibles were $223.2 million in the quarter, an increase of nearly 26% compared to $177.2 million in sales in the prior year period..
According to DappRadar, the market has registered a volume of USD 21.26 million since its launch. Market activity has dropped dramatically since its launch, with only $922,350 of market activity in the last seven days.
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