GameStop Deploys Bitcoin Covered Call Strategy to Generate Premiums

GameStop adopts a Bitcoin covered call strategy with Coinbase Prime, pledging almost all holdings as collateral and selling short-dated calls to generate premiums while reclassifying assets as receivables.

Rich by Coin

2026-03-26

GameStop disclosed that nearly all of its 4,710 Bitcoin holdings were not sold but pledged as collateral under a covered call strategy with Coinbase Prime. To generate premium, it sold short-dated call options with strike prices between $105,000 and $110,000, thereby limiting upside while maintaining exposure. As a result, GameStop no longer holds Bitcoin directly and records the position as receivables tied to the collateral rather than as direct assets. The company also reported unrealized losses of about $59.7 million related to the decline in Bitcoin’s price.

The move changed how the company accounts for its assets, since Coinbase can re-pledge or recycle the Bitcoin collateral. It no longer classifies the asset as directly owned; instead it records it as a debt-like instrument while preserving the right to recover equivalent BTC in the future.

At year-end, the value of secured Bitcoin and related accounts receivable was reported at $360.83 million. After year-end, some covered call contracts expired unexercised with collateral remaining at Coinbase Credit.