GameStop set to launch its own NFT marketplace with a $100 million funding. The GameStop NFT marketplace is finally arriving.
GameStop is launching a division within its company to develop non-fungible tokens and establish cryptocurrency partnerships.
With a 100 million dollar war chest earmarked, this seems to be an attempt by the retail outlet to push the company into the much-hyped areas in an effort to turn around its core video game business.
The company is currently recruiting Engineers as well as designers, gamers and community leaders to join their team, creating a hub for buying selling and trading NFTs of virtual video game goods while also looking to partner with developers to list their own NFT s in their 2b marketplace.
GameStop NFT Marketplace Will Likely Use Ethereum
A visit to the Ethereum site address shows they have already created the ERC 721 token which is often used to create NFTs.
Last year, GameStop indicated its interest in blockchain technology when they advertised for a “head of Web3 gaming” as well as a range of NFT-based roles.Â
NFTs are frequently presented as a mechanism to prove ownership of in-game assets, and they can also be used to allow players to trade items outside of an approved marketplace, such as an in-game auction house.
Some “play-to-earn” games, such as Axie Infinity, use cryptocurrency and NFTs to run an in-game economy that players can use to earn real money.
However, their advantages are sometimes exaggerated, particularly promises that they will allow players to transfer stuff from one game to another, which is difficult and generally undesirable for a variety of reasons.
With the company in a constant revamp phase over the course of the last few years due to consumers opting for streaming and downloading games, the company saw a drop of over 45 percent in its share price over the last six weeks.
GameStop Stock Price Surge Expected
This announcement of exploring NFT and crypto partnerships led to a surge in stock of around 20 at the time of the journal’s initial publication. As reported everywhere, NFT marketplaces have begun to spring up across the digital space.
What may give GameStop an edge is its ties to gaming and gaming culture with gamers expected to be the first to embrace technologies like NFTs and cryptocurrency as they resemble games in their own built-in marketplaces.
Though some companies, such as Ubisoft, have continued to pursue NFT gaming despite criticism, others have scrapped plans for NFTs tied to games such as S.T.A.L.K.E.R. 2 and Worms.
This is due in part to player backlash, but it’s also owing to a lack of excitement on the side of developers, who responded overwhelmingly negatively to the issue in a recent poll.
Starting With Blockchain Makes Sense For GameStop
However, starting with blockchain-native game support could help GameStop avoid the wrath that has accompanied publishers and studios dabbling in NFTs.
Square Enix is also working into developing an NFT ecosystem; the Final Fantasy developer sees blockchain technology and NFTs as having a bright potential in video games.
Bored Ape member Jace Kay suggested video game NFTs and play-to-earn as a breakout NFT trend in 2022, according to Creative Bloq. GameStop appears to be on the same page.
