Meta Slams Door on Bitcoin Integration—Crypto Advocates Fume

Zuckerberg’s empire doubles down on Web2 as crypto community howls. Another ’decentralized’ dream meets centralized reality.

No numbers? No problem—Wall Street analysts will still spin this into a bullish narrative by lunchtime.

$106,114 to the company’s balance sheet was overwhelmingly rejected by shareholders. The notification to the U.S. Securities and Exchange Commission revealed that the proposal was voted down by more than 5 billion votes, garnering only 0.08% support. Notably, Meta CEO Mark Zuckerberg also cast a vote against the proposal.

ContentsBitcoin Balance Sheet Proposal and Its JustificationsSimilar Approaches in Other Companies

Bitcoin Balance Sheet Proposal and Its Justifications

The proposal was introduced in January by Ethan Peck, a proponent of Bitcoin and a representative of the National Center for Public Policy Research. Peck argued that Bitcoin could serve as a hedge in Meta’s balance sheet strategy. He emphasized that Bitcoin could protect the company’s cash assets from inflation and potentially offer additional financial benefits. Furthermore, Peck claimed that Meta’s $72 billion cash position was continually losing value.

Despite Peck’s assertions, the majority of shareholders voted against the proposal. Approximately only 4 million votes were cast in favor of it. Company officials decided to maintain their current balance sheet management strategy.

Similar Approaches in Other Companies

Proposals to incorporate Bitcoin into corporate balance sheets have previously surfaced at other technology companies. Ethan Peck presented a similar proposal to Microsoft and Amazon, but these companies’ executives also rebuffed such approaches.

Strive Asset Management CEO Matt Cole supported Peck’s proposal and raised the issue at the bitcoin Conference in Las Vegas. Cole urged Mark Zuckerberg, stating that it was time for Meta to take a step towards Bitcoin.

Some corporate investors and firms have shown more eagerness to include Bitcoin in balance sheet management. Companies like GameStop, Strategy, and Metaplanet have announced plans to hold significant BTC assets. Specifically, the Strategy company holds around 580,000 BTC, showcasing a striking level of digital asset possession. These approaches highlight various financial strategies within the tech world.

On another note, Strategy’s CEO Michael Saylor warned giants like Microsoft about not missing the Bitcoin train. Saylor believes Bitcoin offers significant opportunities for companies as a new technological wave. Nonetheless, Microsoft shareholders also decided to stick with their existing strategies.

The decision by Meta shareholders reinforces the impression that major tech companies are cautious about incorporating Bitcoin into their balance sheet strategies. It remains uncertain whether this approach among large tech institutions will influence other sectors and investors. Observers note that investors maintain trust in existing financial tools while harboring reservations about digital assets. Despite Bitcoin’s popularity, many tech giants hesitate to alter their traditional investment policies.

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