Microsoft Shareholders Reject Bitcoin Reserve Plan

At its annual meeting on December 10th, Microsoft shareholders rejected a proposal to incorporate Bitcoin into the company’s financial reserves.

The proposal, presented by the National Center for Public Policy Research (NCPPR), suggested that holding Bitcoin could diversify Microsoft’s reserves and enhance shareholder value. 

A pre-recorded video outlining the proposal was shared during the meeting. It emphasized Bitcoin as a key technological wave, supported by data on potential financial benefits. 

The NCPPR argued that adopting Bitcoin could create significant value for the company while mitigating risks, and recommended allocating 1% to 5% of profits to Bitcoin investments.

Microsoft’s board of directors opposed the proposal, describing it as unnecessary in a filing with the U.S. Securities and Exchange Commission (SEC). 

The board highlighted Bitcoin’s volatility and reiterated the importance of maintaining stable and predictable investments to support the company’s operations.

The board also stated that Microsoft already has strong processes in place for managing its treasury and diversifying assets for long-term shareholder benefit. 

While the NCPPR pointed to examples like MicroStrategy and BlackRock as models of Bitcoin adoption, the board dismissed the relevance of these comparisons, citing differences in corporate strategy.

Shareholders ultimately sided with the board, voting against the resolution.