A group of Amazon shareholders is encouraging the company to invest at least 5% of its total assets in Bitcoin, so it safeguards value for future potential inflation and diversifies portfolios.
The proposal from shareholders was filed with the SEC last week by the National Center for Public Policy Research (NCPPR) and it was shared by Tim Kotzman in a X post. The proposal asks Amazon to consider adding digital currency to its treasury account; it cites Bitcoin’s good fortune contrasted with traditional assets such as corporate bonds.
The letter of the NCPPR points to the explosive growth of Bitcoin, which has risen by 131% within 2024 alone, far outperforming returns on bonds. Within the last five years, Bitcoin has skyrocketed over 1,200%, and this makes it a pretty attractive hedge for companies to protect against inflation.
The think tank states that considering Amazon has $585 billion in assets, including $88 billion in cash and bonds, an investment in Bitcoin will increase the long-term value of the company.
The letter also references other prominent companies that have already included Bitcoin in their balance sheets and are thriving. MicroStrategy’s stock price has increased 537% over the last year, largely because of its large Bitcoin holdings. Tesla and Block (formerly Square) have also adopted the asset, thereby further solidifying Bitcoin’s place in corporate finance.
The proposal asks Amazon’s board to seriously consider whether a Bitcoin allocation would be in the best interest of shareholders long-term. Although Amazon hasn’t said anything publicly, the company has expressed an interest in blockchain technology as an asset for supply chain management and may be open to further research in the space.
The NCPPR’s effort to get Bitcoin into the hands of Microsoft is part of a larger institutional push to get the asset into corporate strategy. In October, the think tank made a proposal similar to Microsoft’s, which will vote on the issue at its shareholder meeting on December 10. If Microsoft spurns the plan and Bitcoin continues to rise, the NCPPR says the company may be liable for shareholder litigation.
Also Read: US Treasury Labels Bitcoin as “Digital Gold” in Latest Report
