GameStop (NASDAQ:GME) is in the news today, and GME stock is climbing slightly. This price action comes after the company announced a partnership with Telos Foundation. Telos is a non-profit crypto and blockchain company. Under the deal, Telos’ blockchain will be integrated with “GameStop’s upcoming Web3 game launcher.”
According to Avast, an IT security company, among the features of Web 3.0 are “decentralization, artificial intelligence, blockchain, and connectivity.”
According to Telos, the alliance will enable its blockchain to be utilized by mainstream video game players. “The collaboration will enable users to enjoy Web3 games supported by Telos,” the company stated.
Telos reports that its blockchain, which is also called Telos, is decentralized. Furthermore, it offers “proven scalability, affordability, [a] low carbon footprint, and impressive lifetime track record of continuous uptime.”
InvestorPlace Writers Are Divided on GameStop
In a May 25 article, InvestorPlace contributor David Moadel contended that GME has been enhancing itself. He argued that there are reasons to be upbeat on its outlook. Specifically, he noted that the company lowered its spending and reduced its inventory last year.
Conversely, I’ve argued that the retailer’s decision to put much less emphasis on developing its e-commerce business, along with the transition of most video games to digital formats, make the outlook of GME stock quite poor at this point.
The Performance of GME Stock
Shares have climbed 24% in the last month, but they are still down 28% over the last 12 months.
On the date of publication, Larry Ramer did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
