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GameStop is taking its promised bitcoin investment seriously$500-million-worth-of-bitcoin serious, in fact. The video game retailer (which has also become a meme stock) announced the purchase of 4,710 bitcoin, the oldest and largest cryptocurrency, on Wednesday. The company first announced that it had set its sights on cryptocurrency in early March, Fast Company reported, following the GameStop board’s unanimous decision to add bitcoin as a treasury reserve asset, allowing the company to invest its corporate cash, future debt, and equity issuances on digital tokens. Valued at $108,493 per bitcoin at the time of writing, today’s announced investment amounts to around $511 million. As of February of this year, the company held around $4.8 billion in cash, and said in a regulatory filing that it has not set a ceiling for accumulated bitcoin. While the news had an initial positive response in premarket trading, the stock sank as much as 4% (at the time of writing), trading at $30.9 in comparison to the prior day’s closing at $35. Fast Company reached out to GameStop but did not receive a comment at the time of publishing. The bitcoin purchase marks the next step for CEO Ryan Cohen’s plan to improve the company’s profitability. Cost-cutting efforts included closing 590 brick-and-mortar locations last fiscal year. While this year’s fourth-quarter net sales fell to $1.2 billion compared to the prior year’s $1.7 billion, the retailer saw an increase in net income, rising to $131.3 million compared to $63.1 million the year before. The company’s direction has been relatively effective, with stock up around 8% this year, and a current market valuation of $14.2 billion. Following an uptick in stock price in Marchdue in part to the initial investment policy announcementGameStop has seen a steady rise despite a decline in early May. The expansion of the company’s portfolio investment toward cryptocurrency follows in the footsteps of software company Strategy (formerlyMicroStrategy), which is the largest corporate holder of bitcoin following years of investments. The decision to turn to digital tokens also follows President Trump’s focus on cryptocurrency, with his administration establishing the Strategic Bitcoin Reserve, and the president launching his eponymous token and hosting a private dinner with holders.
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E-Commerce
The Trump administration has decimated climate science across the country, from the mass layoffs at the National Oceanic and Atmospheric Administration (NOAA) to the shuttering of NASAs Goddard Institute for Space Studies. Now, scientists are defending their work, and its value to the country, by speaking directly to Americans through a 100-hour livestream full of presentations on everything from air quality to extreme heat to weather stations. Beginning Wednesday, May 28 at 1 p.m. ET, the Weather and Climate Livestream will span five days, ending on Sunday, June 1 at 5:30 p.m. ET. It will feature climate scientists and meteorologists who will talk about their work and the impact of research cuts, and take audience questions. The event kicks off with Kate Marvel, a climate scientist who was formerly an associate researcher at GISS, who will be live streaming the last hours of the GISS lab. That 43,000-square-foot space near Columbia University has been crucial to climate science, but is closing because the Trump administration terminated its lease. The livestream will also include a panel discussion with terminated NOAA employeesin March, the Trump administration laid off more than 1,000 peopleand another with the former directors of the National Weather Service, as well as “primetime” talks from experts on topics like floods, drought, and hurricanes. Prominent climate scientist Daniel Swainwho often hosts his own virtual office hours on climate news, heat waves, and wildfireswill be participating with an Ask Me Anything session, open to audience questions, on Saturday, May 31 at 9:30 p.m. ET. The 100-hour Weather and Climate Livestream is available on YouTube at https://www.youtube.com/@wclivestream/live. Its billed as a non-partisan event, organized in part by members of the Union of Concerned Scientists. To the participants, it’s also an opportunity to try to save Americas weather forecasts; the event website includes a link for Americans to contact their representatives and urge them to restore weather and climate funding. Trump’s funding cuts Scientists, and everyday Americans are already feeling the cuts from the Trump administration and the Department of Government Efficiency (DOGE): The National Weather Service, for example, is already flying fewer weather balloons, which hampered forecasters ability to get accurate and timely data to the public about recent hail storms and tornadoes. NWS field offices are short staffed and scrambling to have regular coverage. Hurricane season is also approaching, and is expected to be above-average, with 13 to 19 named storms. Trumps cuts would eliminate climate models that provide accurate forecasting, as well as FEMA services that would help Americans recover from climate disasters. The administration’s cuts would also close multiple research institutions and labs, all six of NOAA’s regional climate centers, and end $70 million in grants to research universities. That means thousands of scientists will lose their funding, which translates to less storm forecasting, no more climate monitoring for farmers, and coastal communities without information on things like tides and flood risk. For generations, the U.S. government has invested in the science that helps us do so, building one of the greatest meteorology and climate science communities in the world, the Weather and Climate Livestream website reads. In recent months, this community has been thwarted in our mission of serving the public due to substantial cuts and firings. But its not too late to stop those cuts, the livestream organizers note. Already, the Trump administration has walked back some cuts in the face of public pressurelike by reopening shuttered weather data centers. The 100-hour livestream is a way to “help keep this pressure building, the site reads. The Weather and Climate Livestream website includes more information on topics, speakers, and the schedule for the 100-hour event.
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E-Commerce
The issuer of USDC, a popular stablecoin thats pegged to the U.S. dollar, is officially launching an initial public offering. Circle Internet Group filed paperwork with the U.S. Securities and Exchange Commission on Tuesday to raise up to $624 million by offering 24 million shares to investors. With its IPO plans, New York-based Circle is hoping to put a lot of circleswell, zerosbehind its valuation, targeting up to $6.71 billion. Tuesdays filing has been long-awaited, as the company confidentially filed for an IPO in January 2024 after scrapping 2022 plans to go public via a merger with a special purpose acquisition company (SPAC). While more players in the crypto space have been diving into public markets in recent years, Circles filing comes at pivotal timing amid a lot of interest in stablecoins. The companys biggest coin, USDC, is the seventh-largest cryptocurrency by market cap, according to CoinMarketCap, and second-largest stablecoin behind Tether. You may have been hearing more talk of stablecoins among investors and even the U.S. government. But what even is a stablecoin, anyway? If you’re confused, read on for a complete breakdown of what you need to know. What is a stablecoin? Stablecoins serve a much different role in the crypto space than the likes of Bitcoin or Ethereum, which can experience wild spikes in their prices. As the name suggests, stablecoins are intentionally stable in price because their value is pegged to an asset like the U.S. dollar. Both the Tether and USDC coins are pegged 1:1 to the U.S. dollar, meaning that for every unit of these cryptocurrencies in circulation, theyre backed by $1 of cash or U.S. Treasury bonds. Their prices typically fluctuate only tiny fractions of a cent higher or lower than $1. Even amid Tuesdays IPO news, the price of USDC was essentially flat. Circle is also the issuer of EURC, which is pegged to the value of the euro. Given their price stability, stablecoins offer a valuable ballast to investors amid the volatility of crypto markets for investors. Once popular as a bridge between traditional and decentralized finance markets, theres been more interest in stablecoins as various countries around the world embrace cryptocurrencies. What’s the government’s stance on stablecoins and regulation? If you feel like youre hearing more about stablecoins lately, its because theyve been the topic of recent debate in the U.S. Senate. In February, Senator Bill Hagerty, a Republican from Tennessee, introduced the GENIUS Act, which would have classified stablecoins as securities under the jurisdiction of the SEC to establish regulatory guardrails for these coins. That Act would have brought a new layer of legitimacy to the crypto industry by bringing stablecoins into the regulated financial system. But the U.S. Senate voted earlier this month to block further advancement of the GENIUS Act, which was widely viewed as a significant setback for the industry. Once a skeptic, President Donald Trump has become a vocal proponent of cryptocurrencies, though some investors worry his support isnt helping. The $TRUMP meme coin launched just days before he returned to the office for his second term. In March, he voiced his support for legislation that provides regulatory certainty for stablecoins and has said he wants the U.S. to be the crypto capital of the world. When is Circle’s IPO? Even though stablecoins have been the topic of much debate in Washington, D.C. thats not likely to affect Circles IPO. Theres been a relative dearth of initial public offerings since an all-time record in 2021 and investors may be eager to hop aboard a new offering, particularly amid a broader market recovery. Circle has applied to list its stock on the New York Stock Exchange under the ticker symbol CRCL and indicated that shares could be priced between $24 and $26. But theres no definitive timeline yet for when the stock could begin trading.
Category:
E-Commerce
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