Shareholders of Meta Platforms, Inc. voted against a proposal to allocate part of the company's surplus funds to Bitcoin, following the board's recommendation.
Proposal for Bitcoin Allocation in Strategy
The proposal to allocate funds to Bitcoin, initiated by Ethan Peck from the National Center for Public Policy Research, was aimed at making the cryptocurrency a hedge against inflation. However, Meta's board deemed the proposal 'unnecessary.'
Meta Maintains Traditional Financial Strategy
According to the voting results, 4.98 billion shares were against, while only 3.9 million supported the proposal. This decision demonstrates that the company's financial strategy will remain within traditional approaches without exposure to digital assets.
Cautious Approach of Major Companies towards Bitcoin
Analysts note that similar proposals have been previously rejected by Microsoft and Amazon, reflecting caution among major companies. Eric Balchunas from Bloomberg noted that if Meta had adopted Bitcoin, it could have set a precedent among major U.S. tech firms in this cycle.
Meta's refusal to add Bitcoin to its financial strategy reflects ongoing caution among large corporate players regarding cryptocurrencies, likely due to uncertainty and the need for clearer regulatory frameworks.
