Shares of GameStop jump 26% in after-hours trading after launching NFT unit

Time：2022-01-08 Source： 813 views Trending Copy share

GameStop has reportedly hired 20 members for its new NFT division and is close to partnering with two crypto companies on NFT game development.

The price of GameStop Corporation (GME), the most sought-after stock on Reddit, jumped by a quarter in after-hours trading after the Wall Street Journal reported that the company was about to launch an NFT unit.

The U.S. retail game store giant has been quietly developing the NFT marketplace since May and posted several job openings in October, including for Web 3.0 and NFT-experienced software engineers and product marketers.

According to a Jan. 6 report by The Wall Street Journal, GameStop has now hired more than 20 people to run its newly formed NFT division.

An unnamed source familiar with GameStop’s plans told the outlet that the division is building an NFT platform that can buy, sell, and trade game NFTs, while forging key cryptocurrency partnerships.

The marketplace, which is scheduled to launch later this year, is said to be about to enter into a partnership with two crypto companies that will share technology and jointly invest in the development of blockchain and NFT games, among other NFT projects.

The news was warmly welcomed by after-hours traders, who sent GME shares up 26%. After-hours trading (AHT) is often quite volatile due to the lack of liquidity in the market, but can affect stock prices in a manner similar to regular trading.

However, the Wall Street Journal has no named sources nor direct confirmation from GameStop, which has caught the attention of some of the more conspiracy-minded GME fanatics. User "u/brettmagnetic" in a post on the r/Superstonk Reddit community with 1,100 comments and a 97% approval rating questioned whether the WSJ article really had such a big impact on GME after-hours trading bullish impact.

“Sorry, but I don’t think the after-hours price action has anything to do with the WSJ report on the Gamestop NFT market. I think something else is going on, and this article is meant to make that NFT market a scapegoat for price increases.”

User "MrFlags69" expressed a similar sentiment, arguing: "This author uses 'people' as the only source of information seen. This is not a news report at all."

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