Investing.com – Is GameStop (NYSE 🙂 currently working on an NFT platform? The news that the US retail chain was tinkering with an NFT platform originally made the rounds in late May when the company announced that it was “officially entering NFTs”.
At the time, the video game retailer launched a new web portal that, in addition to a huge logo and an oversized Nintendo (T 🙂 Game Boy with the text “Power to the Players, Power to the People, Power the Collectors” and an Ethereum Address didn’t give much.
The website read: “We are in the process of building a team. We warmly welcome exceptionally talented engineers (Solidity, React, Python), designers, gamers, marketers and community leaders.”
There is no official confirmation yet, but an industry observer who operates on Twitter under the pseudonym “Croissant” is now showing his more than 53,000 followers the way through the crypto jungle and trying to put the puzzle together.
An NFT is a “non-fungible token” that describes a value that cannot be exchanged. This means that an NFT is in contrast to exchangeable values, such as a currency. The term fungibility or interchangeability comes from the world of business and finance. It describes the possibility of exchanging an item for a similar item of comparable value. For example, two 50-euro notes can be exchanged for one 100-euro note without changing their value. Non-fungible values, NFTs, are the exact opposite. Each NFT is unique and cannot be replaced by any other object.
Even the payment service provider Visa (NYSE 🙂 is now active in the field of NFTs, because they recently bought the CryptoPunk 7610 from Larva Labs for 49.50 ETH (150,000 dollars). CryptoPunks is one of the first NFT projects on the Ethereum blockchain. The project was developed by the two Canadian software developers Matt Hall and John Watkinson back in 2017.
Cuy Sheffield, Head of Crypto at Visa said:
“Buying a CryptoPunk is like jumping into deep water. But it is only the beginning of our commitment in this area.”
The fact that even renowned companies such as Visa, Budweiser (HK 🙂 and Sotheby’s are now jumping on the NFT bandwagon shows that there is still huge potential in this sector – a potential that should also benefit GameStop, but primarily Ethereum .
GameStop as a kingmaker for Ethereum?
The video game giant raised heaps of cash earlier this year after the epic short squeeze in late January as its shares continued to hit record highs in the wake of the rally in meme stocks. To this day, private traders organize and gather in the WallStreetBets subreddit and drive hedge funds that have placed short bets on GameStop (NYSE :).
“This has given GameStop a tremendous amount of money to work with and advance its new CEO vision of becoming Amazon (NASDAQ 🙂 of the games.”
By integrating NFTs into the GameStop ecosystem, the company could win millions of additional customers, the analyst said Further.
According to Jordan Holberg, chief engineer at GameStop, the company wants to “create a bridge between the old and the new – traditional” legacy “e-commerce and the next generation of blockchain”.
In addition, GameStop has recently hired many people from the crypto and blockchain scene, which underpins GameStop’s intention to rely entirely on NFTs. ‘Croissant’ spun the story a little further and added:
“This would allow its users and dealers to interact with more decentralized, authenticated applications without compromising data protection. The move to ETH, a censorship-proof network, would be a very important step for its entire user base …”
The analyst also pointed out that GameStop also has significant collaborations with companies like Hasbro (NASDAQ 🙂 and Microsoft’s Xbox, as well as with several eSports teams. Intellectual property laws may currently make NFT adaptation more difficult, but Ethereum can already solve this problem through its ENS (Ethereum Name Service) system – the decentralized equivalent of the Domain Name System (DNS), the main task of which is to process requests for Answer name resolution.
“Such a move would draw the attention of millions of people to $ ETH as even large corporations could provide their intellectual property in a verifiable, * understandable * way. That would be huge.”
According to this, GameStop could lay the foundation for a comprehensive acceptance of and thus become the kingmaker for the second most important crypto currency in the world.
In its current state, however, there is little chance that the Layer 1 Ethereum blockchain could support the onboarding of millions of users, according to ‘Croissant’. The recent NFT hype caused gas prices to skyrocket again, making Layer 2 solutions necessary for all new major platforms based on Ethereum.