Microsoft has taken a firm stance against adding Bitcoin to its treasury, with shareholders set to vote on a proposal at the company’s December 10 meeting. This proposal, highlighted in a recent U.S. Securities and Exchange Commission (SEC) filing, was submitted by the National Center for Public Policy Research. It positions Bitcoin as a potential hedge against inflation, stirring up debate in the finance and crypto communities.
The proposal urges Microsoft to consider holding at least 1% of its total assets in Bitcoin to diversify its treasury portfolio. However, Microsoft’s board has advised shareholders to reject the plan, citing confidence in its current treasury management approach.
Despite this, Bitcoin enthusiasts remain vocal, with MicroStrategy founder and Bitcoin advocate Michael Saylor tweeting a direct appeal to CEO Satya Nadella, suggesting Bitcoin could be a significant value driver for the company.
In response, Microsoft clarified that it actively monitors digital assets, including Bitcoin and Ether, to remain informed about market trends. The board has acknowledged previously evaluating cryptocurrencies within its broader asset assessments.
However, it maintains that Bitcoin’s volatility poses a risk to the stability necessary for corporate treasury management.
As the fourth-largest company by market capitalization, Microsoft’s decision carries weight, while Bitcoin currently ranks tenth in market cap. The upcoming vote offers insight into corporate attitudes toward crypto, with many questioning whether Bitcoin will gain traction as a standard treasury asset or remain sidelined due to its volatility.
While Bitcoin advocates point to its potential as an inflation hedge, Microsoft’s board favors traditional, stable assets for its treasury. This conservative approach may reflect broader corporate caution regarding the crypto market’s current instability.
The outcome of the December vote could be telling for both corporate treasury trends and digital asset adoption. Microsoft’s decision may set a tone for how large corporations perceive crypto’s role in financial management, suggesting that digital assets still face a long road to mainstream acceptance.