Loopring CEO Moves 61.3 Million LRC, Triggering GameStop NFT Speculation

2 mins
17 November 2021, 06:50 GMT+0000
Updated by Kyle Baird
17 November 2021, 06:50 GMT+0000
In Brief
  • A massive transaction of 61.3 million LRC occurred on the network.
  • Speculators think that it could be preparations for a GameStop NFT marketplace.
  • The influx of liquidity and performance of layer 2 solutions would help the NFT initiative of a major business.
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On Nov 16, a transaction of 61.3 million LRC being moved to layer 2 occurred on the Loopring network. The Crypto community speculates that this could be a move to support a forthcoming GameStop NFT marketplace.

Investors and market speculators are having a field day after a recent Loopring transaction has them thinking that it could be related to a GameStop (GME) float. On Nov 16, a deposit of 61.3 million LRC, worth $164.8 million, on the Loopring Exchange occurred. The assets were also moved from layer 1 to layer 2.

Loopring CEO’s transfer: Etherscan

Reddit user, u/Prof_Dankmemes spotted this transaction and said that the address that initiated the transfer had “connections.” The connection in question is allegedly previously connected to the CEO and founder of Loopring, Daniel Wang. The user emphasizes that this could be a personal stake being moved from layer 1 to layer.

At this point, it’s also worth noting that the GME free float is worth about $500,000 more in LRC coins. The speculation gains a little substance when the argument moves to the GME marketplace.

GameStop announced in October 2021 that it was hiring developers for an NFT platform, which immediately sparked animated discussion among investors. The job openings for the initiative required knowledge of NFT marketplaces, Ethereum, and Ethereum layer 2 solutions. This has a large part to play in the speculation.

Loopring provides a layer 2 scaling solution, and those thinking that this is an influx of liquidity could support the GameStop NFT marketplace. In other words, the $164.8 million in liquidity into a layer 2 platform would help GME’s efforts, as it is looking for layer 2 solutions. GameStop rumors fueled the skyrocketing price of LRC in recent weeks.

The poster on Reddit admits that, at this point, this is pure speculation. But it is an interesting analysis, and the next few months will bring a conclusion one way or the other.

Could GameStop’s NFT marketplace be the next big thing?

GameStop first revealed its foray into NFTs in April this year, publishing ads that referred to cryptocurrencies and NFTs. The gaming industry is perfectly poised to make use of the technologies, and valuable in-game assets and in-game economies are well suited for its implementation.

The success of Axie Infinity and its NFT trading are proof of the utility of the technology in gaming. Many established gaming companies are seeking to leverage this as well, with discussion on this matter heating up within the industry.

As one of the world’s largest gaming retailers, GameStop could benefit greatly from receiving such a feature. However, with no significant updates on the matter, it remains to be seen how well it will do. The launch of the NFT marketplace is likely inevitable, and should more partners and NFT creators get on board, it could perform extremely well.

Disclaimer

BeInCrypto has reached out to company or individual involved in the story to get an official statement about the recent developments, but it has yet to hear back.

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