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Bitcoin Still Has a Long Way to Go: Just 1% of Microsoft shareholder Back BTC

Shareholders at Microsoft crypto decision recently voted overwhelmingly against a proposal to invest 1% into Microsoft Bitcoin reserve.

By Isaiah Mccall

Last Updated: Dec 12, 2024

Fact checked

By Sam Cooling

Shareholders at Microsoft crypto decision recently voted overwhelmingly against a proposal to invest 1% into Microsoft Bitcoin reserve.

Shareholders at Microsoft crypto decision recently voted overwhelmingly against a proposal to invest 1% into Microsoft Bitcoin reserve.

On Wednesday, Microsoft shareholders voted overwhelmingly against a proposal to invest 1% of the company’s assets in Bitcoin Price Volume in 24h Price 7d , effectively ending a topic that had drawn attention across tech and crypto circles.

Microsoft just spat on that thang, lawd!

Are these the same people who said the iPhone and tablet would never catch on? Then they FOMOd in with the Windows phone and completely failed at it. That Microsoft? Yes.

(X)

The same Microsoft told on stage that cloud computing is a fad; at the same time, Amazon and Google built new cloud computing farms and began the Docker revolution. Don’t forget they were the last to join the video game world as well with Xbox. More than likely, Microsoft will buy the Bitcoin top in a few years, with no skin off our back as they have with other industries.

 Following the board’s recommendation for rejection, the decision illuminates the broader discussion of corporate treasuries and their hesitance toward cryptocurrencies.

Why Microsoft Rejected Bitcoin Investments

Microsoft isn’t biting. While flashy names like Tesla and MicroStrategy gamble on cryptocurrency, the tech giant stuck to its steady approach. A proposal from the National Center for Public Policy Research (NCPPR) and Michael Saylor pitched Bitcoin as an inflation hedge, but Microsoft seemed unimpressed.

With $78 billion in cash and marketable securities, the NCPPR suggested allocating 1%—a relatively small portion—to Bitcoin to explore the potential for higher returns.

(Polymarket)

It was always going to be unexpected if Microsoft bought. You see, Microsoft has no risk tolerance for doing something like this. They prefer to make products or buy other companies that make products (mostly the latter).

Why? Because that in itself is a lower risk than trying to develop everything yourself. Low risk characterizes Microsoft, and that is why they are still here.

Bitcoin could skyrocket past $200k, and Microsoft wouldn’t flinch. This company was built for a 240-mile ultramarathon, not a regular 26.2-mile (42 km) race. When they finally step into crypto, expect them to hold for decades. Microsoft’s biggest income comes from Azure data centers and MS Office. Then you have Xbox, Windows, etc., but those are not the biggest products, as they are Office and Azure.

They’re as risk-averse a company as Warren Buffett in a pillow factory.

With that said, it was never about getting Microsoft to buy Bitcoin. It’s about sending a message. In the next cycle, they might think differently once they realize their missed gains.

EXPLORE: The 18 Best New Cryptocurrencies to Invest in 2024

Michael Saylor’s Case for a Microsoft Bitcoin Investment

Imagine you have billions of worthless fiat that banks keep printing that you could exchange for literal gold (which is scarce). That’s what this 360 IQ executive chairman of MicroStrategy, Michael Saylor, is doing. He’s getting all the digital gold he wants in exchange for his billions of worthless digital fiat (make-believe money based on debt).

He sees at least 20 years into the future and is trying to bring others along, like Microsoft. No banks will cuck this man, and no government will seize away his digital gold like they did in 1930.

(MSTR)

Interestingly, Saylor—known for its aggressive adoption of Bitcoin—made a notable push for the proposal. Saylor argued that Microsoft missed billions in potential capital gains over the past five years by prioritizing traditional strategies like share buybacks over Bitcoin investments.

“Microsoft forfeited $200 billion in potential capital gains by avoiding Bitcoin,” Saylor claimed in a statement.

Nevertheless, the board remained firm, emphasizing the risks associated with Bitcoin’s infamous price instability, which makes it less suitable for long-term corporate strategies.

Microsoft’s stance reflects a priority for established security and risk-averse decisions over Bitcoin’s high-reward, high-uncertainty potential. Historically, corporate treasuries park excess capital in predictable assets such as U.S. government securities and corporate bonds, focusing on liquidity and steady returns.

EXPLORE: 15 Best Anonymous Bitcoin Wallets with no KYC in 2024

What’s Next For Corporate Crypto Adoption

Imagine Apple pulling the trigger and dropping a Bitcoin trading feature into its iPhone wallet. Billions in fees would flood their cash reserves, and their BTC holdings would become a goldmine. It wouldn’t just boost revenue — they’d leapfrog every other tech giant in value.

Or maybe we’ll see a Bitcoin arms race once one FAANG company adds BTC to their balance sheet.

For now, Microsoft’s Bitcoin investment decision underscores the lingering uncertainty around cryptocurrency for non-crypto-focused firms. Inflation and global economic shifts may spur conversations about diversification and hedges, but volatility remains Bitcoin’s Achilles’ heel in the eyes of traditional corporate investors.

Soon, like normies, corporations will FOMO in. Everyone gets Bitcoin at the price they deserve.

EXPLORE: 17 Best Crypto to Buy Now in 2024

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Crypto is a high-risk asset class. This article is provided for informational purposes and does not constitute investment advice. You could lose all of your capital.
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Isaiah Mccall
Isaiah Mccall
Crypto Analyst

Isaiah McCall is an ultramarathon runner and journalist for 99Bitcoins. He started at USAToday in 2019 and now has a Medium blog following of 30k+ and millions of views. Follow him at @AfroReporter Read More

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