Microsoft Opposes Proposal to Evaluate Bitcoin for Diversification Strategy
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Microsoft Opposes Proposal to Evaluate Bitcoin for Diversification Strategy

Microsoft has advised its shareholders to reject a proposal suggesting the examination of bitcoin as a potential investment strategy to mitigate inflation risks.

The National Center for Public Policy Research, a conservative think tank, informed Microsoft shareholders about an intention to propose a Bitcoin Diversification Assessment at the upcoming annual meeting on December 10. The proposal suggests evaluating bitcoin as a means to hedge against inflation.

In a recent filing with the U.S. Securities and Exchange Commission, Microsoft outlined key issues set for discussion at its shareholder meeting. Notably, one proposal advocates for the consideration of bitcoin as a potential hedge against various economic influences.

The company advises its shareholders to reject the proposal, stating that it has already considered bitcoin in past evaluations. According to Microsoft, it continuously monitors trends in the cryptocurrency market to make informed decisions.

"As the proposal itself notes, volatility is a factor to consider in evaluating cryptocurrency investments for corporate treasury applications that require stable and predictable investments to ensure liquidity and operational funding. Microsoft has strong and appropriate processes in place to manage and diversify its corporate treasury for the long-term benefit of shareholders and this requested public assessment is unwarranted," said a spokesperson for Microsoft.

The National Center for Public Policy Research, associated with Project 2025, asserted that bitcoin might be an "excellent, if not the best, hedge against inflation," and at the least, companies should invest 1% of their total assets into cryptocurrency.

Microsoft's major shareholders include Vanguard, BlackRock, and State Street.

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