LRC Tumbled After Gamestop Annoucement But It Isn't Out Of The Game Yet

KEY POINTS

Gamestop said it will partner with Immutable X for its NFT project
Loopring price tumbled on the news
But Gamestop may still be working with Loopring, filing shows

Gamestop partnered with Immutable X for their upcoming NFT project and this came as a minor setback for Loopring, which was expected to be the front runner in this race. The news sent LRC tumbling. But this story may not be over yet for Loopring.

LRC, which had gained in anticipation of a deal with Gamestop, dived on the news. It was trading around $0.87 at 5.09 a.m. ET, down from its ATH of about $3.86 in November.

Though much has not been revealed about GameStop's NFT project at this point, according to their official website, the GameStop NFT project would empower the players, creators and collectors.

Oh wow, @GameStop is launching an NFT platform 👀 https://t.co/3lkqgJTiwS pic.twitter.com/3BT1Szo9qJ
— Brad Michelson (@BradMichelson) May 25, 2021

LRC's promise of cutting gas fees and transaction times, which have become a big turnoff on the Ethereum network, is probably what made Gamestop consider it for a partnership. GameStop said Thursday that it chose Immutable X because of the network's "zero gas prices for trading and minting NFTs in a carbon-neutral environment."

Interestingly, Immutable X promises to be the first Layer 2 (L2) on Ethereum dedicated to NFTs.

Yet the language in a regulatory filing that Gamestop made on Jan. 28 gives reason to believe the company may still be working with Loopring, although its priority is for Immutable X integration.

Under the section "Marketing & Other Commitments" in the filing, Gamestop said:

GameStop will use Immutable X as their first layer-2 NFT integration for trading and minting, other than Loopring;

GameStop will not integrate any blockchain protocol, other than Ethereum Layer 1 and Loopring into their NFT marketplace without first having integrated Immutable.

I have tried my best over the last 4 years, now it will be Steve's show. I know he will deliver better technologies and products to our users and partners. Good luck Steve. https://t.co/nW3DqqMInG
— danielwang.eth (@daniel_loopring) February 3, 2022

This has given reason for LRC investors to hope that the coin may still gain from a partnership with Gamestop. And the price has regained some ground too.

Separately, Loopring recently said CTO Steve Guo has replaced Founder Daniel Wang as the company's CEO. The company announced that Wang would now work as an adviser to the company focussing on developing its L2 strategy.