FX168 Financial News Agency (Europe): Microsoft will vote on 'whether to invest in bitcoin' at the shareholder meeting on December 10. The Microsoft board of directors recommends shareholders to 'oppose' the proposal, considering the highly volatile coin price. However, Ethan Peck, Deputy Director of the National Center for Public Policy Research (NCPPR) Free Enterprise Program, warns that if the coin price rises in the future, shareholders may have reasons to sue the company.

Microsoft is one of the top three companies in global market cap. Just considering investing in bitcoin is a milestone for the cryptocurrency market. #LatestBitcoinNews#

This proposal was initiated by the conservative think tank National Center for Public Policy Research of Microsoft's '2025 Plan' Advisory Committee. Ethan stated that if Microsoft ultimately chooses not to invest in bitcoin, this proposal could put the company in a dilemma.

Coin circle media CoinTelegraph quoted him as saying: 'If Microsoft openly and explicitly decides against buying bitcoin in this evaluation (undoubtedly based on bias) and the bitcoin price subsequently rises (as expected), then shareholders may have reasons to sue the company.'

(Source: SEC)

He further added that even if the proposal fails, it has opened an important dialogue between Microsoft and its shareholders, and may lay the foundation for a more powerful proposal to be submitted in 2025.

'Regardless of whether this proposal is passed, bitcoin supporters have pushed Microsoft to pay attention to this matter in the past week, taking a big step towards the expected outcome of the proposal, both at Microsoft and other large companies.'

It is worth noting that, among US-listed companies, although Microsoft's investment in Bitcoin has attracted attention, currently, the most successful US-listed crypto giant MicroStrategy in Bitcoin layout has made it the most watched American enterprise by crypto investors.

Microsoft's proposal to "evaluate whether to invest in Bitcoin" will be voted on at the shareholder meeting on December 10.

The National Public Policy Research Center suggests in the proposal that Microsoft should study investing in Bitcoin to hedge against inflation and other macroeconomic impacts. The think tank believes that Bitcoin, "even if not the best, is the best means to hedge against inflation," and the company should invest at least 1% of its total assets in Bitcoin.

The think tank also emphasized MicroStrategy's Bitcoin investment strategy, noting that it accounts for only a small portion of Microsoft's business, yet its stock price has risen by over 300% more than Microsoft's this year.

Furthermore, through Bitcoin spot ETFs, institutions and businesses are increasingly adopting Bitcoin.

However, in documents submitted to the US Securities and Exchange Commission, Microsoft stated that the board of directors advised voting against the proposal, as they believe it is unnecessary and that the company's management "has carefully considered this issue".

"Microsoft's global finance and investment services team has evaluated a wide range of investable assets to fund Microsoft's ongoing operations, including assets expected to offer diversification and inflation protection, and to mitigate against the significant economic losses caused by rising interest rates", the management said.

"Past evaluations have included Bitcoin and other cryptocurrencies in consideration, and Microsoft will continue to monitor trends and developments related to cryptocurrencies to provide news for future decisions."

Microsoft also mentioned that when evaluating the impact of cryptos investments on corporate finances, volatility is a factor that needs to be considered, requiring stable and predictable investments to ensure liquidity and operating capital.