Microsoft shareholders have voted against a proposal to invest directly in Bitcoin, signaling a cautious approach to crypto adoption by one of the world’s largest technology companies.
The proposal was made during Microsoft’s shareholder meeting by the National Center for Public Policy Research (NCPPR), a pro-free-market think tank based in Washington, D.C., which sought to diversify the company’s investment portfolio by adding Bitcoin to its reserves.
Shareholders Meet For BTC Proposal
The initiative was spearheaded by a group of shareholders advocating for the company to follow the lead of companies like Tesla and MicroStrategy, which have integrated Bitcoin into their corporate balance sheets.
Despite the backing from some investors, the proposal faced significant resistance. Most shareholders voted against the initiative, citing concerns over bitcoin’s volatility, regulatory uncertainty, and environmental impact.
Following the refusal, the NCPPR proposed using between 1% and 5% of the firm’s profits to acquire bitcoin. To conclude, if diversifying the firm’s balance sheet by including Bitcoin is in the best long-term interests of shareholders, the proposal demanded that the tech giant conduct a thorough assessment.
Big Firms Buying BTC
The decision reflects a broader trend among large corporations that have remained hesitant to embrace Bitcoin despite its growing mainstream acceptance. While some firms like MicroStrategy have made headlines with their crypto investments. Some countries have also joined in making BTC their reserve asset.
The business intelligence company recently went BTC shopping by purchasing 21,550 BTC, valued at $2.1 billion. The acquisition, executed at an average price of $95,976, brings its total Bitcoin holdings to 423,650 BTC, valued at around $42 billion. With this substantial buy, the company boasts over 2% of the Bitcoin supply.
According to the company’s official filing with the Securities and Exchange Commission (SEC), MicroStrategy entered into a sales agreement in October. The deal allows the firm to issue and sell shares of its class A common stock with an aggregate offering price of up to $21 billion.
In light of bitcoin’s integration as a treasury asset, Amazon shareholders urged the company to consider the digital asset for treasury holdings. The proposal recommends that the multinational technology company consider allocating at least 5% of its treasury holdings to Bitcoin.
Although Bitcoin is a highly volatile asset, the NCPPR argued that Amazon’s stock has also experienced volatility in the past, and therefore, adding the leading crypto asset to the tech firm’s treasury holding is in the “best long-term interest of shareholders.”
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