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2 min read 25 Oct 2024

Microsoft will evaluate Bitcoin as corporate reserve in December

By Daniele Corno

On December 10, Microsoft will vote on whether to add Bitcoin to its reserves. Shareholders will decide the future of this proposal

Microsoft will evaluate Bitcoin as corporate reserve in December

Bitcoin as a corporate reserve: Microsoft's proposal

Microsoft has included Bitcoin among the proposals to be discussed at itsannual meeting on December 10.

During this meeting, shareholders will vote on whether to include cryptocurrency among the tech giant’s corporate reserves.

The proposal was put forward by the National Center for Public Policy Research, a group that advocates the value of Bitcoin as a protection against inflation and economic crises.

However, Microsoft’s board of directors remains cautious. The board believes Bitcoin is too volatile to be a safe reserve. Although the company already monitors the cryptocurrency sector, it explained to the SEC that it prefers less risky financial options for now to protect corporate stability.

The benefits and risks of bitcoin according to Microsoft

Microsoft frequently evaluates new investment options, and Bitcoin is one of the assets under consideration.

The corporate team recognizes that Bitcoin is widespread and could offer protection against inflation and the U.S. debt crisis. However, the board sees the volatility of BTC as a major risk. The value of the cryptocurrency changes often, making it less safe for a long-term corporate strategy.

If shareholders decide to approve this proposal, Microsoft would be the largest public company with reserves in BTC, surpassing names like Tesla and MicroStrategy. However, with the board’s recommendation to the contrary, the outcome of the vote remains uncertain. Shareholders will have the final say on December 10, choosing whether this is the right direction for Microsoft’s future.

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