GameStop to launch self-custodial crypto wallet for gamers

The company has an ambitious plan to enter the world of digital assets, advertising GameStop Wallet as a simple and secure way to get started with Web3.

A stock image of a cybernetic piggy bank.

GameStop Corp. announced on Monday the release of the beta version of its self-custodial wallet, which means that users hold the keys instead of the third party. That also means that the account can’t be recovered if the user loses their secret phrase, the company warned on Twitter.

The wallet supports all Ethereum-based assets: ETH, ERC-20, ERC-721, and ERC-1155. It also utilizes Loopring's zkRollup, the Ethereum Layer 2 scaling solution that allows users to enjoy low cost and fast transactions, combined with Ethereum’s security and reliability.

The company aims to allow gamers and others to store, send, receive and use cryptocurrencies and NFTs across decentralized apps without having to leave their web browsers. The wallet extension is already available via the Chrome Web Store. It will also enable transactions on GameStop’s NFT marketplace, which is expected to launch in the second quarter of the company’s fiscal year.

The video game retailer gained its fame after the short squeeze orchestrated by the Reddit community r/wallstreetbets in January 2021. The 1,500% increase in GameStop's share price over the two weeks caused investment fund Melvin Capital to lose over half its value since the company heavily shorted GameStop. The unexpected media attention allowed GameStop to make it through the pandemic and even expand its services, partnering with the Immutable X, an Ethereum Layer 2 network for NFTs, to build a new marketplace that could potentially challenge OpenSea.