Originally published on: December 10, 2024
During Microsoft’s recent annual meeting on Dec. 10, shareholders voted against a resolution to include Bitcoin in the company’s balance sheets. The National Center for Public Policy Research (NCPPR) proposed this idea, arguing that it was a duty to diversify profits for shareholders.
In a pre-recorded video shown at the meeting, NCPPR made a compelling case for adding Bitcoin, stating that it could create trillions in value and reduce risks for shareholders. While acknowledging Bitcoin’s volatility, the group recommended investing 1% to 5% of profits in the cryptocurrency.
Despite the persuasive arguments, Microsoft’s board rejected the proposal, deeming it unnecessary. They claimed that the company already considers diversification carefully and saw no need for further assessment.
The proposal drew inspiration from other companies like MicroStrategy and BlackRock, who have embraced Bitcoin. However, Microsoft remained steadfast in its decision, emphasizing its commitment to managing and diversifying its treasury effectively.
Ultimately, shareholders followed the board’s recommendation and voted against adding Bitcoin to Microsoft’s balance sheet. The NCPPR plans to propose a similar idea to Amazon in 2025, highlighting the potential benefits of hedging against inflation with cryptocurrency.
As the debate around Bitcoin and corporate adoption continues, it remains to be seen if more companies will follow MicroStrategy’s lead or maintain a cautious approach like Microsoft’s. Stay informed with our Markets Outlook newsletter for the latest insights and investment opportunities.