Amazon has become the latest big name to potentially follow in MicroStrategy’s footsteps.

On December 6th, the National Center for Public Policy Research (NCPPR) submitted a proposal on behalf of shareholders urging Amazon to complete a “Bitcoin Treasury Assessment.” The proposal went on to highlight that, “Though bitcoin is currently a volatile asset – as Amazon stock has been at times throughout its history – corporations have a responsibility to maximize shareholder value over the long-term as well as the short-term. Diversifying the balance sheet by including some bitcoin solves this problem without taking on too much volatility.” The proposal continues, “At minimum, Amazon should evaluate the benefits of holding some, even just 5%, of its assets in Bitcoin.”

You may remember that the NCPPR also recently submitted a proposal on behalf of Microsoft shareholders. The “Assessment of Investing in Bitcoin” will be voted on tomorrow, December 10th. Microsoft is currently the third largest company in the world by market cap, while Amazon comes in right behind at number four.

Bitcoin is the largest cryptocurrency by market value, rising over 130% this year and recently eclipsing the $100,000 milestone.

Shares in MicroStrategy – the 2nd largest holder of bitcoin behind only BlackRock’s iShares Bitcoin Trust – have seen an almost 500% gain YTD. According to an 8-K filed on December 9th, MicroStrategy added another 21,550 bitcoin, bringing their total to 423,650 bitcoin.

Thus far in 2024, Amazon stock has seen around a 50% rise. As of Q3 2024, Amazon had over $88 billion in cash, cash equivalents, and marketable securities. The shareholder proposal goes on to emphasize that the current asset mix isn’t adequately protecting shareholder value, and that Amazon has a fiduciary duty to carry out the treasury assessment.

Who will be the next big name to take a deeper look into bitcoin as a treasury reserve asset? Stay tuned!

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