The board of Microsoft is currently grappling with a critical decision regarding the adoption of Bitcoin in the context of ongoing discussions regarding corporate financing strategy.
Microsoft’s board of directors will receive a three-minute presentation from Michael Saylor regarding his perspectives on Bitcoin investment strategies. This follows a recommendation from the National Center for Public Policy Research (NCPPR) to reconsider Bitcoin investment.
During an X Spaces event hosted by VanEck, the co-founder of MicroStrategy stated, “The activist who drafted that proposition reached out to me to present to the board, and I consented to deliver a three-minute presentation. I will present it to the board of directors.”
Saylor has publicly urged Microsoft to contemplate the inclusion of Bitcoin in its treasury. He is of the opinion that it has the potential to generate “the next trillion dollars” for Microsoft shareholders.
Saylor proposed that companies such as Berkshire Hathaway, Apple, Google, and Meta (formerly Facebook) discuss and evaluate Bitcoin as a potential investment. He argued that these companies have substantial capital reserves and are all wasting shareholder value.
Vanguard, a well-known skeptic of the crypto industry, has also invested in MicroStrategy’s stock (MSTR) and shares of other crypto firms, including Coinbase and MARA Holdings. The asset management behemoth disclosed that it held approximately 16 million MSTR shares as of September 30.
Microsoft’s stock (MSFT) has underperformed MicroStrategy’s Bitcoin strategy, which has resulted in substantial stock price appreciation.
According to Yahoo Finance data, MicroStrategy’s stock reached a new record high at the close of the market on Tuesday. While Microsoft’s stock has experienced approximately 12% growth over the same period, it has surged by 581% thus far this year.
Previously, the NCPPR employed MicroStrategy’s Bitcoin strategy to persuade Microsoft leadership regarding Bitcoin purchasing strategies. They noted that the company’s share price had outperformed Microsoft’s.
Microsoft’s board initially advised against voting on the proposal, asserting that they already “assess a broad spectrum of investable assets,” including Bitcoin. Microsoft’s primary focus is on artificial intelligence, despite the interest of certain shareholders.
However, Ethan Peck, the deputy director of the NCPPR’s Free Enterprise Project, cautioned that the appraisal could result in a shareholder litigation if they choose not to invest in Bitcoin and the asset’s value subsequently increases.
Also Read: Gemini Expands to France with VASP License
Wallets