Meta Shareholder Pushes for Bitcoin Treasury Adoption Amid Inflation Concerns

A Meta shareholder has put forth a bold proposal to reshape the company's financial strategy by urging the adoption of Bitcoin as a corporate treasury asset. The move reflects a growing trend among institutional players advocating for Bitcoin's inclusion in corporate portfolios.

Bitcoin as a Hedge Against Inflation

On January 10, Bitcoin enthusiast Tim Kotzman disclosed that Ethan Peck, a Meta shareholder, proposed allocating part of the company’s $72 billion cash reserves to Bitcoin. Peck, associated with The National Center for Public Policy Research, highlighted inflation’s erosion of cash value and championed Bitcoin’s superior performance as a hedge.

Citing Bitcoin’s remarkable returns—124% in 2024 alone and 1,265% over five years—Peck emphasized the cryptocurrency's potential to enhance shareholder value compared to traditional assets like bonds. He also pointed out Meta’s indirect crypto exposure through BlackRock, the company’s second-largest institutional investor, which has supported a 2% Bitcoin allocation for corporations.

Meta and the Crypto Conversation

Peck’s proposal has sparked debate in both the crypto and corporate sectors. Industry experts, such as Bitwise's Jeff Park, speculate that Meta CEO Mark Zuckerberg might align with Bitcoin’s decentralized ethos, given his previous critiques of traditional systems.

“Zuck could become a pivotal player in corporate Bitcoin adoption. If he sees the long-term value, this could redefine Meta’s financial strategies,” Park remarked.

As the owner of 13.5% of Meta’s common stock and control over 50% of its voting power, Zuckerberg’s stance could significantly influence the outcome of this proposal.

A Broader Movement Toward Bitcoin in Corporate Treasuries

Peck’s suggestion echoes a broader movement advocating for Bitcoin adoption among major corporations. Similar proposals targeting Microsoft and Amazon in 2024 saw mixed results. While Microsoft shareholders rejected the idea due to concerns over Bitcoin’s volatility, Amazon has yet to act on a recommendation for a 5% allocation.

Crypto advocate Erik Voorhees has weighed in, asserting that businesses stand to gain more from Bitcoin adoption than governments, framing it as a tool for preserving value and thriving in a digital economy.

“Corporate treasuries adopting Bitcoin are a step toward innovation and value creation. Let’s focus on this rather than pushing nations to adopt,” Voorhees noted.

What’s Next for Meta?

As Meta navigates this proposal, the outcome could signal a significant shift in how corporations approach treasury management in the digital age. With Bitcoin’s growing appeal as a financial asset, the tech giant’s next move could set a precedent for others to follow.