- The shareholders of Microsoft voted against the proposal of Peck in December.
- The Bitcoin proposals were also declined by Meta.
The shareholders of Meta have fiercely rejected a proposal to assess whether the tech giant should accumulate Bitcoin to its balance sheet. As per the May 28 regulatory filing, a proposal named “Bitcoin Treasury Assessment” was put before shareholders, receiving 3.92 million votes in favor.
It was just 0.88% of the total, and around 5 billion voters decided against the measure. The Chief Executive Officer of Meta, Mark Zuckerberg, controls 61% of the firm’s voting power, as per an April regulatory statement, which could signal that he voted against the proposal.
An unbalanced vote followed a shareholder proposal in January from Bitcoin advocate Ethan Peck, who called on Meta to put a portion of its $72 billion cash and cash equivalents positions into Bitcoin, asserting it would be a hedge against inflation.
He further claimed on his supporting statement that since cash is constantly being debased and bond yields are lower than the true inflation rate, 28% of the total assets of Meta are constantly decreasing shareholder value.
The Rejection
Peck is the Bitcoin director for the wealth management company Strive, and he has also mentioned that BlackRock suggested that a 2% Bitcoin allocation is reasonable. He submitted Bitcoin treasury proposals to Microsoft and Amazon in 2024 on behalf of the conservative think tank, the National Center for Public Policy Research (NCPPR).
The shareholders of Microsoft voted against the proposal of Peck in December, while Amazon shareholders are waiting for a vote on whether to allot around 5% of the firm’s assets to Bitcoin.
The chief executive officer of Valereum, Nick Cowan, revealed in December that Amazon has a better track record of adopting new technologies and exploring novel investments than many other Big Tech firms.
But, the opportunity cost of holding a volatile asset such as Bitcoin rather than investing it into research and development or purchases may weigh heavily on shareholders, he asserted. However, the Bitcoin proposals were declined by Meta and Microsoft.
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