Less than 1% of Microsoft shareholders support Bitcoin proposal

Microsoft shareholders have overwhelmingly rejected a proposal to invest in Bitcoin (CRYPTO:BTC), with only 0.55% voting in favor. 

During the annual meeting, 28.234 million votes were cast in support of the proposal, while a staggering 5.148 billion votes were against it, alongside 22.6 million abstentions.

The proposal aimed to allocate a portion of Microsoft’s cash reserves to Bitcoin, which was described as an effective hedge against inflation. 

However, Microsoft’s board of directors recommended that shareholders vote against the measure, citing concerns over Bitcoin's volatility.

“Bitcoin is a more volatile asset, at the moment than corporate bonds, so companies should not risk shareholder value by holding too much of it,” Microsoft stated during the meeting.

Nevertheless, the company acknowledged that Bitcoin could be beneficial as part of a diversified investment strategy. 

Microsoft's management emphasized that they continuously evaluate various assets for potential investment but prefer stable and predictable options.

Despite the rejection, there is a growing trend among companies to consider Bitcoin as part of their corporate strategies.

For instance, Semler Scientific recently invested $30 million in Bitcoin, and recommendations have been made for Amazon to convert a percentage of its assets into the cryptocurrency.

Microsoft highlighted MicroStrategy as a significant player in the Bitcoin space, noting its substantial holdings of approximately 423,650 BTC valued at around $42 billion.

Michael Saylor, CEO of MicroStrategy, has been a vocal advocate for companies to adopt Bitcoin as part of their financial strategies.

While Microsoft shareholders opted against this proposal, the company’s Global Treasury and Investment Services team will continue to monitor trends related to cryptocurrencies for future decision-making.

At the time of reporting, the Bitcoin price was $101,305.