Amazon Pressured to Adopt Bitcoin Reserve Amid Inflation Concerns  

• Amazon shareholders propose holding 5% of assets in Bitcoin to combat inflation risks.  
• Microsoft shareholders will vote on a similar Bitcoin reserve proposal this week.  
• MicroStrategy urges tech giants to convert reserves into Bitcoin for long-term value.  

Amazon shareholders, represented by the National Center for Public Policy Research, have proposed that the company allocate 5% of its assets to Bitcoin. This comes after the Bitcoin market rally, which saw its price soar to an all-time high of $103,679 last week, marking a 27% increase over the past month. 

In their proposal dated December 6, the think tank emphasized the need for corporations to focus on long-term value preservation. They acknowledged Bitcoin’s volatility but highlighted its potential as a hedge against inflation.

The proposal comes when inflation in the U.S. has risen significantly, with October and September rates at 2.6% and 2.4%, respectively, surpassing the Federal Reserve’s 2.0% target.

Amazon is expected to discuss this proposal during its annual shareholder meeting in the spring. The company’s board will provide a recommendation to shareholders before the vote. Neither Amazon nor the National Center for Public Policy Research responded to inquiries regarding the feasibility of this proposal.

Meanwhile, Microsoft is facing a similar proposal from its shareholders, which was spearheaded by the same think tank. Microsoft’s shareholders are set to vote on adopting Bitcoin as part of its balance sheet strategy.

However, the company’s board has advised shareholders to vote against the proposal. The decision on this matter is expected this Tuesday.

MicroStrategy founder and Executive Chairman Michael Saylor has actively promoted the idea of major corporations adopting Bitcoin as a reserve asset. Earlier this month, Saylor suggested that Microsoft convert its $200 billion capital distributions into Bitcoin. MicroStrategy holds the largest corporate Bitcoin reserve, valued at approximately $42 billion.

These developments underscore a growing trend among corporate stakeholders advocating for Bitcoin to hedge against inflation and maximize shareholder value. Whether Amazon or Microsoft will follow through with these proposals remains to be seen, as the boards of both companies appear divided on the matter.