No Bitcoins for Microsoft. A tech giant Microsoft held a meeting with its shareholders on December 10, 2024, and among the proposals discussed was the addition of bitcoin (BTC) to the company’s reserves. However, Microsoft’s management clearly recommends it reject this ideaand the shareholders followed this advice.
- Microsoft rejected a proposal to include bitcoin in its financial reserves, despite pressure from the National Center for Public Policy Research.
- Microsoft’s board of directors deemed the proposal unnecessary, citing bitcoin’s volatility as the main risk to its cash management.
Microsoft doesn’t even want to hear about Bitcoin in its coffers
A proposal to add bitcoins to the treasury Microsoft was based on National Center for Public Policy Research (NCPPR), a free market think tank based in Washington, D.C. The idea was to diversify the company’s profits by investing between 1% and 5% your profits in bitcoins.
The NCPPR even emphasized thatinstitutional adoption of bitcoin has become mainstreamgiving examples like BlackRock AND MicroStrategy. The group also noted that bitcoin was more volatile than corporate bonds, but warned that ignoring bitcoin entirely could be risky.
“Institutional and commercial adoption of Bitcoin is becoming more mainstream. Microsoft’s second largest shareholder, BlackRock, offers its clients a Bitcoin ETF. »
Source
BTC volatility still scares big companies
Despite these arguments, the board of directors of spol Microsoft recommended reject the proposal. In the deposit u Securities and Exchange Commission (DRY) of the United States, the board called the proposal “unnecessary” and said the company already takes bitcoin’s volatility into account in its investment decisions.
“As the proposal itself notes, volatility is a factor to consider when evaluating cryptocurrency investments for enterprise cashier applications that require stable and predictable investments to provide liquidity and operational funding. »
The board insisted on it Microsoft had robust processes for managing and diversifying its cash flows and that this public assessment required by the NCPPR was not warranted.
Even if bitcoin is now accepted by institutional investors, even in BTC spot ETF approved from April 2024there is still a way to convince companies like Microsoft integrate bitcoins into your financial strategy. MicroStrategy so it will remain an exception among US multinationals for a while.