Introduction
Ryan Cohen has done it again—quietly, without explanation or permission.
In May 2025, nestled within an SEC filing, GameStop’s 8-K form contained just four words: "Purchased 4,710 Bitcoin." The CEO, who resurrected a failing video game retailer, had just allocated over $500 million of the company’s cash reserves into Bitcoin. No press releases. No investor calls. Only the bare minimum required by law.
When asked, Cohen’s response was characteristically succinct:
"We bought. We currently hold 4,710 Bitcoin."
With that, GameStop became the 14th-largest corporate holder of Bitcoin, a move as efficient as Cohen’s earlier feat—building Chewy from scratch and selling it for $3.35 billion.
For those who’ve followed his career, this was no surprise. Cohen’s journey—from a college dropout selling pet food online to the architect of a new corporate strategy—began with a Florida teen who understood that the best opportunities hide in plain sight.
Early Lessons: The Apprentice
Ryan Cohen’s entrepreneurial education started before he could legally drive.
Born in Montreal in 1986, Cohen grew up in Coral Springs, Florida. By 15, he was running affiliate marketing schemes. At 16, he’d built structured e-commerce operations, mastering online business basics while most dismissed the internet as a fad.
His father, Ted, became his mentor, teaching him:
- Delayed gratification
- Work ethic
- Business as long-term partnerships
At 20, Cohen dropped out of the University of Florida to focus on his ventures. He’d already proven he could generate revenue and acquire customers—college felt like a detour.
The Pet Food Revolution (2011–2018)
Chewy’s Origin
In 2011, Amazon dominated e-commerce. Most avoided competing directly—but Cohen chose a different battlefield: pet supplies.
Pet owners didn’t just buy products; they sought advice, empathy, and community. Chewy combined Amazon’s logistics with Zappos’ customer service—then tailored it for pet lovers.
Execution
- Handwritten holiday cards
- Custom pet portraits for loyal customers
- Flowers sent when a pet passed away
These touches were costly but forged emotional connections competitors couldn’t match.
The Struggle
2011–2013: Cohen pitched 100+ VC firms. Most saw a college dropout fighting Amazon in a niche market.
2013: Breakthrough—Volition Capital invested $15M. By 2016, Chewy hit $900M annual sales.
2018: Sold to PetSmart for $3.35 billion—then the largest e-commerce acquisition ever.
At 31, Cohen was a multimillionaire. He could’ve retired—but chose family instead.
The GameStop Gambit (2020–Present)
The Opportunity
In 2020, analysts saw GameStop as a dying retailer. Cohen saw:
- A cultural icon for gamers
- A community-driven platform (mismanaged as a retail chain)
He acquired nearly 10% of GameStop, joining its board in 2021. Retail investors followed, sparking the infamous short squeeze (1,500% stock surge in weeks).
The Turnaround
Cohen’s strategy mirrored Chewy’s playbook:
Leadership Overhaul
- Replaced 10 board members with Amazon/Chewy veterans.
Cost Cuts
- Closed underperforming stores
- Slashed redundant roles
Digital Pivot
- NFT marketplace (2022) → Failed (closed in 2024)
- Bitcoin bet (2025): $513M purchase (4,710 BTC)
Results
| Metric | 2020 (Pre-Cohen) | 2024 (Post-Cohen) | Change |
|----------------------|------------------|-------------------|--------------|
| Revenue | $5.1B | $3.8B | ▼ 25% |
| Gross Margin | 24.7% | 29.1% | ▲ 440 bps |
| Net Profit | -$215M | +$131M | +$346M swing |
Bitcoin & The Future
Why Bitcoin?
Cohen’s rationale:
- Portability: Easier to transfer than gold.
- Scarcity: Fixed supply (21M BTC).
- Hedge: Against currency devaluation.
GameStop funded its BTC purchase via convertible bonds—keeping $4B+ in cash reserves.
The "Ape Army"
Millions of retail investors ("apes") refuse to sell, creating patient capital. Cohen can ignore quarterly noise and focus long-term.
Challenges Ahead
- Bitcoin Volatility: Will it create or destroy value?
- Hybrid Model: Can a retail/investment hybrid attract traditional investors?
- Community Passion: Will grassroots energy survive institutionalization?
Conclusion
Ryan Cohen’s career thrives on spotting overlooked value:
- Chewy: Pet supplies as Amazon’s blind spot.
- GameStop: Community over retail footprint.
At 39, with billions in cash and a proven playbook, he’s redefining corporate strategy—merging operational discipline with community power.
Whether GameStop becomes a lasting success remains unseen. But watching Cohen try will be instructive.
👉 Explore more about disruptive investment strategies
FAQs
Q: Why did GameStop buy Bitcoin?
A: Cohen views BTC as a hedge against inflation and a strategic reserve asset, diversifying beyond retail.
Q: How did Ryan Cohen turn GameStop profitable?
A: By cutting costs, pivoting digitally, and leveraging its gamer community—reducing revenue 25% but boosting margins.
Q: What’s next for GameStop?
A: A hybrid model: part retail, part investment vehicle, fueled by Bitcoin and community loyalty.