The Microsoft board urged shareholders to vote against a Bitcoin investment proposal for the upcoming company’s annual meeting.
Microsoft, a leading global technology company founded in 1975, is known for its software products like Windows, Office, and cloud services. It also develops hardware, including Xbox and Surface devices, and operates in areas like Artificial Intelligence (AI) and cloud computing.
Recently, the National Center for Public Policy Research, a conservative think tank, notified Microsoft shareholders of its intent to propose a Bitcoin Diversification Assessment at Microsoft’s annual meeting on Dec. 10, according to a filing.
On Oct. 24, 2024, in a Schedule A filing with the U.S. Securities and Exchange Commission (SEC), Microsoft’s board addressed this issue for the upcoming annual meeting. The filing noted a proposal to invest in Bitcoin to diversify the company’s investment portfolio, citing increasing inflation and other macroeconomic factors.
The board urged shareholders to reject the Bitcoin investment idea, stating that the company already carefully “considers this topic.”
2/2) Company stated "Past evaluations have included Bitcoin and other cryptocurrencies among the options considered, and Microsoft continues to monitor trends and developments related to cryptocurrencies to inform future decision making,”
— Bitcoinik (@Bitcoinikdotcom) October 25, 2024
According to the Microsoft board, digital assets are highly volatile, which is not beneficial for Microsoft’s competitive position in the market.
The National Center for Public Policy Research argued that Bitcoin is an “excellent, if not the best, hedge against inflation,” and suggested that companies should invest at least 1% of their total assets into the cryptocurrency.
Some experts noted that even if Microsoft does not adopt Bitcoin now, it is highly likely they will in the future, as institutional Bitcoin adoption has already surged.
A notable example is Nasdaq listed business intelligence firm MicroStrategy, which has earned nearly $6 billion in profit solely from its Bitcoin investment.
#Microstrategy is in unrealised profit of $6,368,044,501 (83.94%) pic.twitter.com/T7rkhpsrVp
— Bitcoinik (@Bitcoinikdotcom) June 20, 2024
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