- Large retailer GameStop ends cryptocurrency wallet support.
- The iOS and Google Chrome apps will be removed on Nov. 1, 2023.
- The firm continues to lay off top executives.
Gaming company GameStop Corp. Will stop supporting cryptocurrency wallets “due to regulatory uncertainty surrounding cryptocurrencies”. The announcement of the project’s closure appeared on the GameStop Marketplace website.
The U.S. video game retailer clarified that the wallet apps for iOS and Google Chrome will be removed on Nov. 1, 2023. He recommended that customers double check their passwords before Oct. 1. With a seed phrase, they will be able to regain access to an account in any compatible wallet.
The digital asset management app was introduced in May 2022. The wallet is developed based on Ethereum using the Loopring layer 2 protocol. It allows you to store, receive, as well as transfer cryptocurrency and non-mutualizable tokens. GameStop later entered the NFT market by launching its own marketplace. It also has 4,400 retail stores worldwide.
Representatives of the U.S. company did not specify what “regulatory uncertainty” they were referring to. Earlier, Treasury Secretary Janet Yellen advocated for the regulation of cryptocurrencies in the United States. On July 26, amid increased SEC pressure on the industry, a U.S. House committee approved a cryptocurrency bill.
SEC Chairman Gary Gensler has repeatedly called for regulation of the crypto market. Live on CNBC, he said the U.S. doesn’t need cryptocurrencies when it has the U.S. dollar. Gensler called all PoS tokens “securities.”
It’s worth noting that GameStop CEO Matt Furlong, who was behind the creation of the NFT marketplace and the launch of the wallet, left his post two months ago. Chief Financial Officer Diana Saadeh-Jajeh will step down on Aug. 11.
Even before the firing, Furlong had hinted that the company might reconsider financing the sector. In the December 2022 earnings report, the former CEO noted that GameStop “will not risk significant equity capital for the sake of the crypto industry”. The firm posted an operating loss of $94.7 million.
SEC Chairman Gary Gensler has repeatedly called for regulation of the crypto market. Live on CNBC, he said the U.S. doesn’t need cryptocurrencies when it has the U.S. dollar. All PoS tokens have been described by Gensler as “securities.”
All PoS tokens are “securities.