Dell Technologies has officially rejected a shareholder proposal to consider adding Bitcoin to its corporate treasury. This decision has been reaffirmed by a recent ruling from the U.S. Securities and Exchange Commission (SEC).
Dell Rejects Shareholder Proposal
Dell Technologies has declined a proposal put forward by the National Center for Public Policy Research (NCPPR) regarding the addition of Bitcoin to its corporate treasury. This proposal was made in the context of rising inflation and institutional interest in Bitcoin. However, Dell submitted a formal request to the SEC, arguing that such decisions should remain under the management’s purview.
SEC Decision Supports Dell
The SEC agreed with Dell's reasoning, stating that the proposal relates to ordinary business operations. Consequently, the agency confirmed that it would not take enforcement action if Dell excluded this proposal from the shareholder vote at its annual meeting.
Microsoft Took a Different Path
In contrast to Dell, Microsoft allowed a similar shareholder proposal to be considered, although it ultimately voted against it. The company provided an opportunity for Michael Saylor, a prominent Bitcoin advocate, to present his case. Despite Dell's earlier hints at interest in Bitcoin, the company now seems to be distancing itself from the cryptocurrency discussion.
Thus, Dell’s decision to reject the shareholder proposal and the support from the SEC signal a cautious approach by major corporations towards adopting Bitcoin in corporate strategies.
