A shareholder of social media giant Meta has proposed a bold change in the company’s financial strategy by suggesting the adoption of Bitcoin as a corporate treasury asset.
The move follows similar proposals submitted to major companies such as Microsoft and Amazon, highlighting the growing pressure for Bitcoin adoption among institutional players.
On January 10, Tim Kotzman, a Bitcoin YouTuber, revealed that Ethan Peck, a Meta shareholder, had submitted a proposal urging the company to allocate a portion of its $72 billion in cash reserves to Bitcoin.
“The shareholder, Ethan Peck, who is an employee of the National Center for Public Policy Research – the organization that submitted a request to MSFT and AMZN – informed me that he had submitted a request on behalf of the shares of his family,” Kotzman added.
In the proposal, Peck raised concerns that the value of Meta’s cash would be eroded by inflation. He argued that Bitcoin, with its strong performance compared to traditional assets, provides a hedge against inflation while improving shareholder value.
Peck cited Bitcoin’s impressive returns, noting a 124% increase in 2024 and a staggering 1,265% gain over five years. These figures far exceed the modest returns on bonds and other traditional financial instruments.
He also highlighted Meta’s indirect exposure to crypto through BlackRock, the company’s second institutional investor, which approved a 2% Bitcoin allocation to businesses. BlackRock is the issuer of IBIT, the largest Bitcoin exchange-traded fund (ETF) in the United States.
Meanwhile, the proposal has sparked conversations in the crypto and business communities. Bitwise’s Jeff Park speculated that Meta CEO Mark Zuckerberg’s skepticism toward traditional systems could align with Bitcoin’s decentralized philosophy.
“If Zuck figured this out from his experience from 2020 to 2024, he could well become a major force in crypto. Watch closely: his next moves could rewrite the Meta playbook,” Park said.
Indeed, Zuckerberg, who owns 13.5% of Meta’s common stock and controls more than 50% of the company’s voting rights, could play a central role in this decision.
Additionally, Peck’s proposal aligns with a broader movement toward Bitcoin in corporate treasuries. Similar initiatives have targeted Microsoft and Amazon in 2024, although results have varied. Microsoft shareholders have rejected the idea, citing Bitcoin’s volatility, while Amazon has yet to act on a suggested 5% allocation.
Still, crypto advocates like Erik Voorhees believe businesses have more to gain from Bitcoin investments than governments. He argued that Bitcoin adoption not only preserves value, but also allows businesses to thrive in an increasingly digital economy.
“Let’s advocate more for corporate treasuries to buy Bitcoin, and less for nation states to do so. The first are deserving, because they produce value. The latter does not deserve it, destroying it,” Voorhees wrote.
Disclaimer
In accordance with the Trust Project guidelines, BeInCrypto is committed to providing unbiased and transparent reporting. This news article aims to provide accurate and current information. Readers are, however, advised to independently verify the facts and seek professional advice before making any decision based on this content. Please note that our Terms and Conditions, Privacy Policy and Disclaimer have been updated.
