In a decisive vote that highlights the ongoing divide between traditional corporate finance and cryptocurrency adoption, Meta shareholders have resoundingly rejected a proposal to add Bitcoin to the company’s balance sheet. The May 28 vote saw a staggering 99.92% of shareholders oppose the initiative, with only 0.08% voting in favor.
The Proposal and Its Defeat
The “Bitcoin treasury assessment” proposal, spearheaded by Bitcoin advocate Ethan Peck, received just 3.92 million votes in support, while nearly 5 billion shares were cast against it . Peck, who serves as Bitcoin director for wealth management firm Strive, submitted the proposal on behalf of the National Center for Public Policy Research.
The initiative suggested converting a portion of Meta’s substantial $72 billion cash reserves into Bitcoin as a hedge against inflation and declining bond yields . Peck argued that with current economic conditions, “28% of Meta’s total assets are consistently diminishing shareholder value” by remaining in cash and low-yield investments.
Meta’s board firmly opposed the measure, stating: “While we are not opining on the merits of cryptocurrency investments compared to other assets, we believe the requested assessment is unnecessary” . The board emphasized that the company already has established treasury processes focused on liquidity and capital preservation.
Zuckerberg’s Influence
Meta CEO Mark Zuckerberg’s position likely played a decisive role in the outcome. With 61% of the company’s voting power, Zuckerberg’s opposition would have been sufficient to defeat the proposal regardless of other shareholders’ views . This concentration of voting power highlights the centralized governance structure at Meta, which some critics have compared to a “Soviet-era” decision-making model.
Tech Giants’ Stance on Bitcoin
Meta’s rejection aligns with similar positions taken by other tech giants. Microsoft shareholders previously voted against a comparable proposal from Peck in December, while Amazon shareholders are expected to vote on a related measure proposing a 5% Bitcoin allocation in the coming months.
Despite these rejections from major tech companies, the landscape of corporate Bitcoin adoption continues to evolve. According to data from BitcoinTreasuries.NET, 116 public companies now hold Bitcoin on their balance sheets, with recent additions including GameStop and Swedish health tech company H100.
Corporate Bitcoin Adoption Trends
While Meta has closed the door on Bitcoin treasury investments, other companies are taking a different approach:
• MicroStrategy remains the largest corporate Bitcoin holder with 580,250 BTC worth approximately $60.9 billion.
• Marathon Digital Holdings and Tesla both maintain Bitcoin holdings valued at over $1 billion.
• Trump Media & Technology Group recently confirmed plans to raise $2.5 billion for cryptocurrency purchases.
• Blockchain Group, a French crypto holding company, announced plans to purchase an additional $72 million in Bitcoin.
Meta’s approach to cryptocurrency remains selective and cautious. While rejecting Bitcoin as a treasury asset, the company continues to explore stablecoin integration for platform-based payments to creators.
Market Implications
The overwhelming rejection by Meta shareholders may signal continued hesitancy among traditional tech companies to embrace volatile crypto assets on their balance sheets. However, the growing list of public companies adding Bitcoin suggests a gradual shift in corporate treasury strategies across different sectors.
As Bitcoin recently reached a record high of $111,965, digital asset companies are increasingly tapping capital markets to fund large-scale Bitcoin acquisitions, indicating continued institutional interest despite the conservative approach of some tech giants.
