- Shareholders at Microsoft’s annual meeting voted down a proposal to allocate 1-5% of profits to Bitcoin investments.
- The board opposed the motion, citing Bitcoin’s volatility and existing treasury strategies as adequate for shareholder interests.
What happened: Microsoft shareholders vote ‘no’ on Bitcoin reserve
Microsoft shareholders decisively rejected a resolution proposed by the National Centre for Public Policy Research (NCPPR) to invest 1-5% of the company’s profits into Bitcoin reserves. The proposal, presented during Microsoft’s annual meeting on Dec. 10, framed Bitcoin as a potential hedge against inflation and a means to capitalise on emerging technology.
The board recommended voting against the motion, labelling it “unnecessary” in a U.S. Securities and Exchange Commission (SEC) filing. It emphasised Bitcoin’s volatility as a key reason for maintaining the company’s current treasury practices. Despite NCPPR’s arguments that Bitcoin adoption by firms like MicroStrategy and BlackRock heralded a growing trend, the shareholders aligned with the board’s cautionary stance.
NCPPR has since submitted a similar proposal to Amazon, with discussions slated for the company’s April 2025 shareholder meeting.
Also read: Amazon shareholders urge bold Bitcoin treasury proposal
Also read: MicroStrategy boosts bitcoin reserves with $600M senior notes offering
Why it’s important:
The rejection signals a conservative approach by large corporations like Microsoft toward cryptocurrency adoption. While Bitcoin is gaining traction among certain institutional investors, concerns about its volatility and integration challenges persist. This decision highlights the need for stable financial management strategies within firms with substantial market influence.
Microsoft’s refusal to diversify into Bitcoin could influence other corporate treasuries grappling with similar debates. Additionally, the board’s insistence on proven financial stability over speculative investments reflects a broader hesitation to engage deeply with crypto markets without robust frameworks in place. As the conversation continues, this decision may shape how mainstream companies weigh crypto opportunities against operational risks.
