Microsoft is facing opposition from a conservative think tank, the National Center for Public Policy Research, regarding a proposal to assess Bitcoin diversification. The think tank has notified Microsoft shareholders about its intention to propose this assessment at the upcoming annual meeting on Dec. 10, as per a filing with the U.S. Securities and Exchange Commission.
The proposal suggests that Microsoft should consider investing in Bitcoin as a way to hedge against inflation and other macroeconomic influences. However, Microsoft’s board is recommending shareholders to vote against this proposal. The company argues that it already carefully considers such topics and has evaluated Bitcoin and other cryptocurrencies in the past. Microsoft continues to monitor trends in the cryptocurrency space to inform its future decision-making processes.
The board highlights the volatility associated with cryptocurrencies and states that Microsoft has strong processes in place to manage and diversify its corporate treasury for the long-term benefit of shareholders. The company believes that the proposed public assessment is unnecessary given its current approach to treasury management.
The National Center for Public Research, a member of Project 2025, views Bitcoin as an excellent hedge against inflation and suggests that companies should consider investing at least 1% of their total assets in the cryptocurrency. Microsoft’s top shareholders, including Vanguard, BlackRock, and State Street, will play a crucial role in deciding the outcome of this proposal at the upcoming shareholder meeting.
In recent news, Bitcoin has broken the $64,000 mark while gold prices have also been soaring. The ETH/BTC ratio has dropped to its lowest level since April 2021, raising questions about Bitcoin’s bullish momentum. These developments in the cryptocurrency and traditional markets could influence Microsoft’s decision-making regarding the proposed Bitcoin diversification assessment.
As the debate continues between the conservative think tank and Microsoft’s board, shareholders will need to weigh the potential benefits and risks associated with investing in Bitcoin. The outcome of the upcoming shareholder meeting will shed light on Microsoft’s stance on cryptocurrency investments and its approach to managing corporate treasury in the face of evolving market dynamics. Stay tuned for updates on this developing story.
