Microsoft Rejects Bitcoin Proposal: What’s Next for Corporate Adoption?
On Dec. 10, Microsoft (NASDAQ: MSFT) shareholders voted against a proposal urging the company to add Bitcoin (CRYPTO: BTC) to its balance sheet. The board had recommended a no vote, so the outcome was expected.
What if the proposal had passed? Following Microsoft’s lead, other major companies might have embraced Bitcoin, potentially driving its price upward and creating new millionaires. So, what lies ahead?
Microsoft isn’t alone in facing pressures from Bitcoin shareholder activism. The National Center For Public Policy Research, the think tank that backed the proposal for Microsoft, plans to move on to Amazon (NASDAQ: AMZN). Come April, Amazon shareholders will also vote on a proposal to consider Bitcoin for its treasury holdings.
As Bitcoin hovers around the $100,000 mark and optimism rises with the new Trump administration, more companies could consider Bitcoin for their balance sheets. Those that ignore this trend might find themselves facing investor backlash.
This development represents a shift where shareholders compel companies to invest in assets they favor—a significant change in corporate investment strategy focused on increasing shareholder value through Bitcoin.
Corporate Bitcoin Holdings: A Snapshot
Currently, major publicly traded firms investing in Bitcoin are primarily in the cryptocurrency sector. Companies like Coinbase Global (NASDAQ: COIN) and MicroStrategy (NASDAQ: MSTR) lead the pack.
Exceptions exist, such as Tesla (NASDAQ: TSLA), but most companies diving into Bitcoin have strong ties to the cryptocurrency industry. For instance, Coinbase needs Bitcoin to facilitate transactions on its trading platform.
However, a recent shift may be on the horizon. On Nov. 20, three biotech firms announced plans to purchase $1 million in Bitcoin each, aiming to capitalize on Bitcoin’s potential upside and enhance shareholder value. If successful, this could prompt a wave of similar actions across various sectors.
What’s Precious for Bitcoin Investors?
For Bitcoin investors, the aspirations for substantial returns hinge on the success of Bitcoin shareholder activism. Encouragement exists for every public company to adopt Bitcoin enthusiastically, as increased buying could boost Bitcoin’s market price significantly.
Consider the stakes involved—Michael Saylor, founder of MicroStrategy, suggested that Microsoft could invest as much as $100 billion annually in Bitcoin for its corporate treasury. Such a move, he argued, could add trillions to Microsoft’s market valuation.
This hypothetical investment would surpass MicroStrategy’s current holdings of about $42 billion and also eclipse the largest Bitcoin ETF, the iShares Bitcoin Trust, which holds around $54 billion.
The Future of Bitcoin in Corporate America
The case for holding Bitcoin is gaining momentum. Support is building among everyday investors, financial institutions, and even in Washington, D.C. Should a significant tech company like those in Silicon Valley embrace Bitcoin, it might spark a substantial buying trend.
Keep a lookout for developments in Bitcoin shareholder activism. While Microsoft chose not to act, Amazon will soon make its considerations known, providing another potential turning point.
Should You Invest $1,000 in Bitcoin Now?
Before you consider investing in Bitcoin, it’s essential to weigh your options:
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John Mackey, former CEO of Whole Foods Market, an Amazon subsidiary, is part of The Motley Fool’s board of directors. Dominic Basulto has investments in Amazon and Bitcoin. The Motley Fool has positions in and endorses Amazon, Bitcoin, Coinbase Global, Microsoft, and Tesla. It recommends long January 2026 $395 calls on Microsoft and short January 2026 $405 calls on Microsoft. The Motley Fool maintains a disclosure policy.
The views and opinions expressed herein are those of the author and do not necessarily reflect those of Nasdaq, Inc.
