Crypto Market Recap: U.S. Banks Reconsider Crypto Strategies, GameStop Invests $513 Million in Bitcoin

May 28, 2025
By Giann Liguid and Meagen Seatter

In a notable shift for the cryptocurrency landscape, major U.S. banks are tentatively exploring opportunities in the crypto markets amid a more lenient regulatory environment. Simultaneously, traditional retailer GameStop has pivoted by investing over $513 million into Bitcoin, highlighting a strategic move towards digital assets.

Banking Institutions Eye Crypto Market Again

America’s largest banks are reevaluating their stance on cryptocurrency, encouraged by recent regulatory signals suggesting a more supportive framework under the current administration. Major financial institutions such as JPMorgan Chase, Bank of America, and Morgan Stanley are reportedly in discussions to initiate pilot programs and offer limited crypto services.

Despite cautious steps, JPMorgan CEO Jamie Dimon remains skeptical of the sector. Dimon recently voiced concerns regarding systemic risks associated with cryptocurrency, citing issues related to leverage, money laundering, and other potential criminal activities. He stated, “When I look at the bitcoin universe, the leverage in the system, the misuse in the system, the money laundering issues, trafficking, I’m not a fan of it.”

Nevertheless, the evolving regulatory landscape is prompting these banks to consider collaborations with established crypto firms. Executives are actively seeking clear guidelines, particularly regarding anti-money laundering and compliance, before making significant expansions into the crypto space.

GameStop’s Massive Bitcoin Acquisition

In a significant move that underscores the company’s commitment to embracing digital assets, GameStop (NYSE:GME) has announced a purchase of 4,710 Bitcoin, valued at approximately $513 million. This acquisition comes as GameStop continues to seek new avenues for growth amidst challenges facing its traditional video game retail operations.

While the company did not disclose the timing of the Bitcoin purchase in its regulatory filing, the news was well-received by investors, leading to a 4% increase in stock prices during pre-market trading. GameStop’s shift towards cryptocurrency mirrors the approach taken by other companies focused on digital assets, such as MicroStrategy (NASDAQ:MSTR), which has garnered substantial gains from its Bitcoin investments.

This venture into Bitcoin may mark the beginning of a broader strategy for GameStop, potentially involving digital asset integration efforts such as Web3 initiatives or blockchain-powered loyalty programs.

SEC Reviews WisdomTree’s XRP ETF Proposal

In another major development within the crypto sector, the U.S. Securities and Exchange Commission (SEC) has begun its formal review of a proposed XRP Exchange-Traded Fund (ETF) submitted by WisdomTree. The WisdomTree XRP Fund aims to provide investors exposure to the asset’s spot price without the challenges associated with digital wallets or private keys.

If approved, this could position WisdomTree’s fund as one of the first ETFs to track XRP directly—an asset that has faced significant regulatory scrutiny and legal challenges from the SEC. The review process is now open for public comment under Section 19(b)(2)(B) of the Exchange Act, which indicates a timeline for decision-making that could extend for several months. Supporters of the ETF argue that it could foster broader institutional adoption of XRP, while skeptics raise concerns about the cryptocurrency’s regulatory status.

Binance’s User Milestone Fuels Market Optimism

Binance, the world’s leading cryptocurrency exchange, has recently reached a major milestone by surpassing 275 million registered users. This achievement emphasizes the growing mainstream adoption of digital assets. Following the announcement from CEO Richard Teng, Binance Coin (BNB) experienced a notable boost, rising 4.2% within an hour.

The increase in user registration also led to a surge in trading volume for BNB and indicated strengthened momentum for cryptocurrency-related equities on exchanges like Coinbase. On-chain analytics from Glassnode also revealed a 7% rise in new Bitcoin wallet activity, suggesting that the growing user base of Binance could further energize the crypto market.

Conclusion

As major financial institutions cautiously return to the crypto landscape, the investment landscape is rapidly evolving. GameStop’s significant Bitcoin purchase, alongside regulatory developments around ETFs and the continued growth of platforms like Binance, highlights the increasing integration of cryptocurrencies into mainstream finance.

Investors remain watchful as the crypto market continues to develop and mature, followed keenly by evolving regulations and institutional interest.

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