Mad Money host Jim Cramer thinks he has a solution to save Gamestop with the help of bitcoin. He suggested that Gamestop should raise money to buy cryptocurrency, then turn its 5,000 locations into bitcoin shops. He was sure his idea would work.
Jim Cramer Has the Idea of Using Bitcoin to Save Gamestop
Mad Money’s Jim Cramer said on CNBC last week that he believes he has come up with a viable plan to help Gamestop (GME). He said the idea would improve the company’s valuation. Gamestop shares jumped more than 100% last week after the company announced that CFO Jim Bell would be stepping down.
The idea is for Gamestop to “become a crypto dealer.” He noted that that’s exactly what Square and Paypal did, which he initially thought “looked ridiculous”, but then “was fine”. Cramer is the host of CNBC’s Mad Money and a former hedge fund manager who co-founded the financial website Thestreet.com.
Cramer also pointed out that Nvidia will come with a graphics card for crypto. “Last night about Nvidia’s phone call which was amazingly good, as a side note, they were talking about March. [Mereka] will have some graphics cards (VGA) actually just for crypto. It’s really not important for Nvidia, but it could also be important for a place like Gamestop,” explained host Mad Money. He continued:
If Gamestop were to turn itself into a 5,000-store introduction to crypto, make it so that they sell $1 billion worth of stock … and buy crypto with it, and then make it so it’s an international gaming place where you win bitcoin, I think you can justify the stock price.
He tweeted telling Gamestop board member Ryan Cohen to tell “the board to sell 10 million shares of Gamestop for $200 and buy bitcoin and say Gamestop is now a bitcoin shop that also sells games.”
Cramer had floated the idea of turning the Gamestop store into a former bitcoin empire. On February 5, he tweeted:
Gamestop should be a bitcoin palace with 5,000 stores. I couldn’t believe how brilliant it was… They could sell stocks, buy lots of bitcoins and hold on. Call it Bitstop. Or Gamecoins.