GameSquare Holdings, Inc. (NASDAQ: GAME) has approved a stock repurchase programme that will be funded through returns generated by the company’s Ethereum (ETH) investment strategy.
The esports-focused media, entertainment, and technology company, which owns leading organisations like FaZe Clan, recently purchased 2,717 ETH for $10 million, increasing its total holdings to 15,630 ETH — valued at over $60 million. On 1 August, GameSquare commenced its onchain yield strategy with blockchain investment firm Dialectic, targeting annualised returns between 8% and 14%.
The board has authorised the repurchase of up to $5 million worth of common stock, with buybacks to be executed only if shares trade below $1.50. Repurchases may be carried out via open market transactions, privately negotiated deals, or Rule 10b5-1 trading plans.
“Every dollar of net income our Ethereum yield strategy generates can be used to buy back our stock, provided it trades below $1.50 per share under our current plan,” said GameSquare CEO Justin Kenna. “This reflects our belief that the current market value does not fully capture the long-term earnings potential of our operating businesses or our treasury management strategy.”
Kenna emphasised that the move is part of GameSquare’s wider goal of converting its crypto holdings into recurring revenue streams. “With over $60 million now deployed in ETH and NFT purchases, we’re focused on turning Ethereum from a passive asset into a source of recurring revenue,” he said.
GameSquare retains its previously announced authorisation to allocate up to $250 million toward its Ethereum treasury strategy, leaving room for further expansion.
