GameStop’s choice to shut down its NFT marketplace follows a sequence of reductions in its cryptocurrency services spanning the past two years.
GameStop, the gaming retailer, has alerted users about the impending closure of its non-fungible token (NFT) marketplace next month, citing regulatory uncertainty.
In an announcement on GameStop’s website, users were informed that they have slightly over two weeks to access the NFT platform. The company reassured NFT holders that the decision to further reduce its involvement with crypto will not affect their NFTs.
Effective as of February 2, 2024, customers will no longer be able to buy, sell or create NFTs. Your NFTs are on the blockchain and will remain accessible and saleable through other platforms.
The gaming company attributed the reduction in its crypto services to a lack of regulation.
“GameStop has decided to wind down our NFT marketplace due to the continuing regulatory uncertainty of the crypto space,” the statement noted.
Based in the United States, GameStop observes a push for enhanced regulatory clarity in the crypto sector. The recent approval of 11 spot Bitcoin exchange-traded funds (ETFs) by the U.S. Securities and Exchange Commission (SEC) is viewed as a positive sign, indicating a growing openness to additional regulation in the field.
This follows a series of cutbacks in cryptocurrency services by the gaming company in recent years.
In August 2023, as reported by CoinNerd, GameStop advised customers to safeguard their “Secret PassPhrase” as access to iOS and Chrome Extension wallets would be discontinued.
In December 2022, GameStop signaled a departure from its emphasis on cryptocurrency following a $94.7 million net loss in the third quarter and staff layoffs in its digital assets department.
GameStop CEO Matt Furlong clarified that, despite the company’s optimism about cryptocurrency, he aimed to steer clear of endangering investor funds.
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