GameStop may have surrendered $31 million of Bitcoin upside with one options trade

GameStop’s Bitcoin options strategy faces a key test Friday as the cryptocurrency trades well above its disclosed $70,000 call strike.

The company said in a Sept. 9 filing that covered-call contracts tied to roughly 2,000 BTC were outstanding as of Aug. 1, with maturities extending through Sept. 25. Bitcoin was trading around $85,662 on Sept. 22, leaving the token more than $15,000 above the strike.

If those calls remain open through expiration, GameStop would have capped its participation in further gains on the covered Bitcoin. At current prices, the difference between spot and the $70,000 strike amounts to roughly $31.3 million across 2,000 BTC.

That figure represents potential upside surrendered under the strategy rather than a realized loss. GameStop collected option premiums for selling the calls, and the final economics would depend on the contract terms, any premium received, and whether the company has since closed or rolled the positions.

The filing only establishes that the calls were open on Aug. 1. GameStop has not disclosed whether the same exposure remains in place today.

Bitcoin rally raises cost of income strategy

Covered calls allow an asset holder to generate premium income by selling another investor the right to participate in gains above a specified price. The trade becomes less attractive when the underlying asset rallies sharply through the strike because appreciation above that level is effectively surrendered while the contract remains outstanding.