GameStop’s NFT Wallet to Cease Operations in November

GameStop is shutting down its crypto locker service, GameStop Wallet, after just a year of operation. The retailer cited “regulatory uncertainty of the crypto space” as the reason for discontinuing the service. GameStop Wallet, which was a self-custodial Ethereum wallet, allowed users to store and manage their nonfungible tokens (NFTs).

The closure comes as GameStop invested heavily in NFTs in 2021 and 2022, hoping to capitalize on the growing popularity of digital collectibles. However, the NFT market faced consumer backlash and criticism, and the retailer’s efforts in the crypto space did not yield the expected results.

In the past, GameStop had a partnership with the now-defunct FTX exchange, but it was terminated after FTX collapsed. The company also faced layoffs, including in its cryptocurrency division. Despite the closure of GameStop Wallet, the company’s CEO had previously expressed a belief in the long-term future of digital assets in the gaming world. However, he was fired in June, and the retailer seems to be reassessing its crypto-related ventures.