Billionaire Bitcoin investor Michael Saylor launches his own company micro strategybecoming a high-risk proxy for cryptocurrencies, has been encouraging Microsoft using part of its massive cash reserves to follow his lead.
But shareholders said no on Tuesday.
October, Microsoft The conservative think tank National Center for Public Policy Research plans to submit a shareholder proposal recommending that the software company’s board of directors consider diversifying its balance sheet through Bitcoin, the company told investors.
Saylor, looked at his company’s stock price soar Almost 500% this year as it buys billions of dollars worth of Bitcointhe proposal was presented at Microsoft’s annual shareholder meeting.
“Microsoft cannot afford to miss the next wave of technology, and Bitcoin is that wave,” Thaler said in a video presentation. Published on last week. The post received more than 3 million views.
During his three-minute speech, Saylor showed a chart showing that Bitcoin generated 62% annual returns between August 2020 and November 2024, compared with 18% for Microsoft and 14% for the S&P 500. Bonds as an asset class lost 5%, the brief said.
“You can convert your cash flow, dividends, buybacks and debt into Bitcoin,” Thaler said. “If you do that, you’ll add hundreds of dollars to your stock price.”
Tuesday’s virtual appearance wasn’t Thaler’s first pitch to Microsoft, which had $78.4 billion in cash, equivalents and short-term investments as of 2018. end of september.
Microsoft said in a statement Agency filing In October, its financial and investment services team previously evaluated Bitcoin and other cryptocurrencies to fund company operations and mitigate economic risks, and “continues to monitor cryptocurrency-related trends and developments to inform future decisions.”
One day later, Sailor Direct addressing Microsoft CEO Satya Nadella on X.
“Hey @SatyaNadella, if you want to make the next trillion dollars for Microsoft shareholders, give me a call,” Thaler wrote.
The proposal failed to gain support from a majority of voting shareholders after Microsoft advised them to reject it. Proxy adviser Glass Lewis and Institutional Shareholder Services also both recommended a no vote.
Microsoft shares are up about 19% so far this year, lagging far behind MicroStrategy.
But Thaler has directly tied his company, currently valued at about $83 billion, to Bitcoin’s fate. In mid-2020, the company, once a mid-level software company, announced that plan Investing in Bitcoin revealed during its earnings call that it will invest $250 million in “one or more alternative assets” over the next 12 months, which may include digital currencies such as Bitcoin. At the time, MicroStrategy’s market capitalization was approximately $1.1 billion.
As of November 10, MicroStrategy and its subsidiaries owned a total of approximately 279,420 Bitcoins, with a total acquisition price of approximately US$11.9 billion. With Bitcoin trading at $95,000, these assets are worth over $26.5 billion.
MicroStrategy sold stock and raised debt to fund its Bitcoin purchases. company explain On November 21, the company completed a $3 billion convertible bond sale “to obtain more Bitcoin and use it for general corporate purposes.”
According to statistics, Thaler’s net worth has soared to $9.1 billion Forbesmainly due to his ownership of MicroStrategy.
