GameSquare Buys Rare CryptoPunk for $5.15M, Expands Ethereum Holdings and NFT Strategy

On July 24, GameSquare Holdings, Inc. (NASDAQ: GAME) announced its first direct NFT investment by acquiring CryptoPunk #5577, known as the “Cowboy Ape”, for $5.15 million in preferred shares from Compound founder Robert Leshner. The Cowboy Ape is one of only 24 Ape Punks in existence and is considered one of the most culturally iconic and desirable NFTs in the 10,000-piece CryptoPunks collection.

This acquisition is a key part of GameSquare’s NFT yield program, which aims to generate an annualized return of 6% to 10% by leveraging Ethereum-native assets. The company plans to use CryptoPunks for marketing activations, community engagement, and licensing, while positioning itself as a leader in blockchain-native storytelling. GameSquare has also updated its X profile picture to feature the newly acquired CryptoPunk NFT..

“Acquiring CryptoPunks showcases our belief in the long-term value of digital identity, decentralized ownership, and cultural capital onchain,” said Justin Kenna, CEO of GameSquare. “Adding the Cowboy Ape to our treasury is both a strategic investment and a statement of intent.”

Kenna also welcomed Leshner as a shareholder through this transaction. The company stated that the partnership aligns with its strategy to expand into emerging areas of onchain finance.

The NFT yield strategy will be managed by Ryan Zurrer’s 1OF1 AG, which will also custody the asset for yield generation purposes.

GameSquare Grows ETH Treasury to $47M, Targets DeFi Yield Upside

Alongside its NFT initiatives, GameSquare continues to aggressively expand its Ethereum holdings as part of a broader onchain asset strategy. As of July 24, 2025, GameSquare holds approximately 12,913 ETH, valued at over $47 million, making it the 7th largest ETH-holding public company and 19th overall, according to Strategic ETH Reserve data. A recent purchase of 2,742.75 ETH for $10 million at an average price of $3,646 per ETH further boosts the company’s position.

To enhance yield beyond traditional ETH staking (typically 3–4%), GameSquare is utilizing Dialectic’s Medici platform, which combines automation, machine learning, and risk-managed strategies to target onchain returns between 8% and 14%.

GameSquare Greenlights $250M Crypto Expansion Plan

The company’s board has approved a broader expansion plan to advance its onchain asset strategy. On July 21, GameSquare’s board approved several key expansions:

• Raising the digital asset treasury cap from $100 million to $250 million

• Launching a $10 million NFT yield strategy

• Forming strategic partnerships with Ryan Zurrer (Dialectic) and Rhydon Goff (Goff Capital) to manage and optimize its growing crypto portfolio

Unlike passive holders, GameSquare is actively deploying assets via DeFi protocols to earn yield and enhance capital efficiency.

These strategic expansions have been made possible by a successful fundraising round just days earlier. On July 17, GameSquare completed a $70 million public offering, issuing 46.67 million shares at $1.50 each. Proceeds will primarily be used to significantly expand the company’s ETH holdings.

Kenna described the raise as a major milestone, stating that the funding would allow the company to scale rapidly and execute one of the most ambitious ETH treasury strategies in the public markets.

Looking Ahead

With $250 million in capital, iconic NFT acquisitions, and a rapidly growing ETH treasury, GameSquare is staking its claim as a leader in blockchain-native asset management. Backed by DeFi yield strategies, strategic alliances, and cultural capital, the company is making a bold bet on Ethereum’s long-term value.