Ryan Cohen: From Chewy Founder to GameStop's Bitcoin Billionaire Boss

Ryan Cohen purchased 4,710 bitcoins or GameStop in May 2025, making it the 14th largest corporate holder. The CEO who turned GameStop from $2.15B losses to $131M profit disclosed it quietly via SEC filing. Ryan Cohen funded the buy through convertible bonds, maintaining $4B+ cash as strategic hedge.

Ryan Cohen’s Silent Strike: $513M Bitcoin Bet

On a Tuesday in May 2025, buried in a routine SEC disclosure that most investors overlooked, a few words quietly appeared in GameStop’s 8-K form: “Purchased a total of 4,710 Bitcoins.” The CEO who led a nearly bankrupt video game retailer to stunning recovery just plunged over $500 million of company cash into Bitcoin. No press release, no investor conference call, just the bare minimum required by law.

When BTC Inc’s David Bailey posed the question everyone was asking to Ryan Cohen, his answer shattered months of speculation. “Did GameStop buy Bitcoin?” “Yes. We currently own 4,710 Bitcoins.” And just like that, Ryan Cohen, in his typical understated manner, turned GameStop into the world’s 14th largest corporate Bitcoin holder—much like he transformed Chewy from nothing to a $3.35 billion unicorn.

Anyone following Ryan Cohen would not be surprised. This is the man whose involvement inspired millions of retail investors to short some of Wall Street’s most established hedge funds. He turned a company many experts thought destined to fail into one defying all traditional valuation models. His signature move: acting swiftly, without warning, explanation, or permission.

From College Dropout to Pet Food Unicorn

Ryan Cohen’s entrepreneurial journey began long before legal driving age. Born in Montreal in 1986, his mother was a teacher and his father Ted Cohen ran a glassware import company. When young, the family moved to Coral Springs, Florida. At age 15, Ryan Cohen started his own business collecting referral fees from various e-commerce websites.

By 16, his business expanded from simple referrals to organized e-commerce operations. While most thought the internet was passing fad, he already deeply understood e-commerce essence. His father Ted became his most important mentor, teaching about delayed gratification, professional ethics, and viewing business relationships as long-term partnerships. Eventually, Ryan Cohen decided to drop out of University of Florida and fully commit to his business, proving his ability to acquire customers and generate revenue.

In 2011, the e-commerce space was dominated by Amazon, and most entrepreneurs shied away from direct competition. However, at 25, Ryan Cohen chose “non-confrontational competition.” He didn’t try beating Amazon in product selection or logistics but found an area where customer relationships mattered more than operational efficiency: pet supplies.

Chewy’s Customer-Centric Revolution

· Combining Amazon’s logistics with Zappos’ customer service philosophy

· Handwritten holiday cards for loyal customers

· Customized pet portraits as gifts

· Flowers sent when beloved pets passed away

· Building emotional connections beyond transactions

This approach didn’t bring immediate returns. Between 2011 and 2013, Ryan Cohen contacted over 100 venture capital firms, explaining why pet supplies represented huge opportunity. Most VCs saw: a college dropout with no traditional business experience trying to carve niche in small market dominated by unbeatable competitor.

The turning point came in 2013 when Volition Capital provided $15 million Series A funding. By 2016, company received investments from Belvedere and T. Rowe Price Group, with annual sales reaching $900 million. By 2018, Chewy’s annual revenue hit $3.5 billion. PetSmart made $3.35 billion acquisition offer, marking the largest e-commerce acquisition at the time. At 31, Ryan Cohen became multi-millionaire but chose to leave Chewy to focus on family.

GameStop: The Impossible Turnaround

In September 2020, when most investors saw GameStop as struggling brick-and-mortar retailer on brink of collapse, choked by digital downloads and streaming services, Ryan Cohen saw something different: a company with strong brand presence and loyal customer base, yet management that didn’t know how to leverage these assets.

Ryan Cohen’s investment firm, RC Ventures, disclosed holdings of nearly 10% in this struggling electronic game retailer, becoming the company’s largest shareholder. Wall Street analysts couldn’t understand why someone as experienced as Ryan Cohen would invest in “outdated” retail company. Cohen believed GameStop wasn’t just retail chain but cultural landmark in gaming community. Its customers were passionate gaming culture enthusiasts, willing to pay premium for emotional connection. The issue was management viewing company as traditional retailer rather than community-driven platform.

In January 2021, Ryan Cohen joined GameStop’s board, triggering frenzy of purchases by retail investors. Within two weeks, GameStop’s stock price surged 1500%, creating one of the most famous short squeeze events in market history. While financial media focused on “meme stock” phenomenon, Ryan Cohen focused on fundamental change.

GameStop Transformation Metrics

2020 Pre-Cohen: $5.1B revenue with $2.15B annual loss

2023-2024 Post-Cohen: $3.8B revenue with $131M profit

Gross Margin Improvement: +440 basis points

Store Rationalization: Closed underperforming locations, focusing on profitable ones

Leadership Overhaul: Replaced 10 board members with e-commerce executives from Amazon and Chewy

Ryan Cohen took over $5.1 billion revenue company with over $2 billion annual losses. After three years systematic restructuring, in 2023-2024, he successfully led GameStop to its first-ever profit. Despite 25% revenue shrinkage due to store closures, he raised gross margin by 440 basis points and transformed $215 million annual loss into $131 million profit.

On September 28, 2023, Ryan Cohen took on CEO role while continuing as chairman. His salary: zero. His compensation entirely tied to stock price, meaning he only gets rewarded when shareholders profit. This alignment creates powerful incentive structure where Ryan Cohen’s interests perfectly match shareholder interests.

The Failed NFT Experiment

GameStop made its first foray into cryptocurrency space in July 2022, launching an NFT marketplace focused on game-related digital collectibles. Initial results seemed promising: over $3.5 million in transaction volume within first 48 hours indicated genuine demand for gaming NFTs.

However, the collapse was swift and brutal. Sales plummeted from $77.4 million in 2022 to mere $2.8 million in 2023. Citing “cryptocurrency regulatory uncertainty,” GameStop halted its crypto wallet service in November 2023 and shut down NFT trading feature in February 2024.

This failure could have ended GameStop’s cryptocurrency venture. Yet Ryan Cohen took away valuable lessons and devised more mature digital asset strategy. The NFT market taught him that speculative digital collectibles lack sustainable demand, but Bitcoin—with its proven store-of-value thesis and institutional adoption—represents fundamentally different opportunity.

Why Ryan Cohen Chose Bitcoin Over NFTs

May 28, 2025, amid market frenzy over Fed policy, GameStop quietly purchased 4,710 bitcoins worth $513 million. Ryan Cohen’s rationale remained as meticulous as ever: If global currency devaluation and systemic risk arguments are correct, then Bitcoin and gold serve as hedges. Bitcoin boasts unique advantages over gold:

Bitcoin’s Advantages as Corporate Treasury Asset

Portability: Instantly transferred globally versus gold’s high transportation costs

Verification: Authenticity instantly verified through blockchain versus complex gold testing

Storage: Securely stored in wallet with ease versus costly gold insurance and vaulting

Scarcity: Fixed 21 million supply versus uncertain gold discovery through technological advances

This move positioned GameStop as 14th largest Bitcoin corporate holder. Ryan Cohen funded purchase not from core capital but through convertible bonds, maintaining robust cash reserve over $4 billion. This strategy reflects diversified, cautious approach rather than all-in bet: positioning Bitcoin as secondary hedge rather than core business.

On June 25, GameStop raised additional $450 million through greenshoe option exercise, bringing total convertible bond issuance to $2.7 billion. The greenshoe option allows underwriters to issue up to additional 15% shares beyond original plan if demand is strong. For GameStop, this means issuing more convertible bonds to increase total fundraising.

These funds will be used for “general corporate purposes and for investing in a manner consistent with GameStop’s investment policy,” explicitly including purchasing Bitcoin as reserve asset. “GameStop follows GameStop’s strategy, we do not follow anyone else’s strategy,” Ryan Cohen stated, dismissing comparisons to MicroStrategy’s aggressive Bitcoin accumulation.

The Ape Army: Patient Capital Phenomenon

Perhaps the most unusual part of Ryan Cohen’s GameStop story is millions of retail investors who refuse to sell. They call themselves “apes” and their behavior drastically differs from ordinary stock investors. They don’t trade based on earnings reports or analyst ratings. They hold stock because they believe in Ryan Cohen’s vision and want to see what the future holds.

This is “patient capital” rarely seen in public markets. Ryan Cohen can focus on long-term strategy without worrying about quarterly fluctuations, as his core investor base isn’t easily swayed. When GameStop’s stock price fell after Bitcoin purchase announcement, apes didn’t panic sell—they bought more, viewing price drops as buying opportunities rather than sell signals.

This retail investor base provides Ryan Cohen with unusual strategic flexibility. Traditional corporate Bitcoin purchases face intense scrutiny from institutional shareholders demanding explanations and projections. Ryan Cohen faces questions too, but his ape army’s unwavering support means he can execute long-term strategies without constant justification.

FAQ

Who is Ryan Cohen?

Ryan Cohen is GameStop’s CEO and chairman, previously founding Chewy which sold to PetSmart for $3.35 billion in 2018. He transformed GameStop from $2.15B losses to $131M profit, then purchased 4,710 bitcoins worth $513M in May 2025.

How much Bitcoin does Ryan Cohen’s GameStop own?

GameStop owns 4,710 bitcoins purchased in May 2025 for approximately $513 million, making it the world’s 14th largest corporate Bitcoin holder. The purchase was funded through convertible bonds while maintaining $4B+ cash reserves.

Why did Ryan Cohen buy Bitcoin for GameStop?

Ryan Cohen views Bitcoin as hedge against currency devaluation and systemic risk, with advantages over gold including portability, instant verification, easy storage, and fixed supply. The purchase represents strategic diversification rather than core business bet.

Did GameStop’s Bitcoin purchase work out?

GameStop’s stock initially fell after Bitcoin purchase announcement, but Ryan Cohen’s “ape army” of loyal retail investors viewed it as buying opportunity. Long-term success depends on Bitcoin’s future value appreciation.

What happened to GameStop’s NFT marketplace?

GameStop launched an NFT marketplace in July 2022 that initially generated $3.5M in 48 hours, but sales collapsed from $77.4M in 2022 to $2.8M in 2023. Ryan Cohen shut down the platform in February 2024 due to market collapse and regulatory uncertainty.

What is Ryan Cohen’s salary at GameStop?

Ryan Cohen’s salary is zero. His compensation is entirely tied to GameStop’s stock price, meaning he only gets rewarded when shareholders profit, perfectly aligning his interests with investors.