Microsoft shareholders reject BTC investment plan

On December 10th, at the Microsoft shareholders' meeting, shareholders voted on the proposal to invest in BTC, and the final result determined the fate of this plan. At the time, the price of Bitcoin had experienced its second major drop in the previous day, and after news of the proposal being rejected by shareholders spread, BTC fell below $95,000.

It is recommended to invest at least 1% of total assets in Bitcoin

The Microsoft board of directors has recommended that shareholders vote against including BTC in the company's investment portfolio at the shareholders' meeting. The board of directors pointed out that it has carefully considered investment options in BTC and other cryptocurrencies in the past and believes that the high volatility of such assets is not in line with the company's long-term interests. The proposal, put forward by the conservative think tank National Center for Public Policy Research (NCPPR), suggests that Microsoft invest at least 1% of its total assets in BTC to hedge against inflation risks. However, Microsoft emphasizes that the company needs stable and predictable investments to ensure liquidity and operating capital, so the proposal is seen as unnecessary.

In its proposal, NCPPR pointed out that BTC, as an asset, can effectively hedge against inflation and may be one of the best choices. The think tank believes that if Microsoft can emulate companies like MicroStrategy and include BTC in its balance sheet, it can not only enhance shareholder value, but also achieve higher returns in the future. However, the Microsoft board of directors believes that this investment strategy does not meet its corporate treasury management needs.

Michael Saylor once pitched BTC to the board of directors

At this shareholders' meeting, MicroStrategy's co-founder Michael Saylor also participated in the proposal. He presented a 44-page presentation to Microsoft CEO Satya Nadella and the board, emphasizing the potential of BTC in the current economic environment and the changing regulatory environment, hoping to change the board's view on BTC investment. Although Saylor's efforts did not change the final result, his views undoubtedly laid the foundation for an important dialogue on Cryptocurrency between Microsoft and its shareholders.

In summary, Microsoft's decision to vote against the proposal to invest in BTC at this shareholders' meeting shows the company's concern about the high volatility of Cryptocurrency and its emphasis on stable investment demand. This decision may affect the attitudes and strategies of other large enterprises in considering similar investments in the future, and the BTC price has also been affected by the news, falling below $95,000 again after yesterday.

This article was first published in Blockchainer.