• Amazon shareholders propose a Bitcoin treasury strategy, urging the company to assess allocating 5% of its assets to Bitcoin.
• The move aligns with a growing trend among corporations adopting Bitcoin to protect against inflation and enhance long-term shareholder value.

Shareholders of Amazon.com Inc. have proposed that the online retail giant consider adopting a Bitcoin treasury strategy to enhance shareholder value. The proposal, submitted Sunday by the National Center for Public Policy Research, a U.S.-based free-market advocacy think tank, urged Amazon to evaluate allocating approximately 5% of its assets to Bitcoin as a hedge against inflation and a potential long-term growth strategy.

In its submission, the think tank highlighted concerns over the company’s $88 billion in cash and cash equivalents, arguing that simply holding such a significant reserve leaves it vulnerable to inflation. Citing an average U.S. inflation rate of 0.95% over the past four years—and suggesting the true rate could be nearly double—the proposal stressed Amazon’s fiduciary duty to safeguard shareholder value by protecting profits from monetary debasement.

The shareholders also pointed to Bitcoin’s significant returns as evidence of its potential. Over the past year, Bitcoin has grown by 131%, far outpacing corporate bond growth, which averaged 126%. The proposal drew comparisons with companies like MicroStrategy, Tesla, and Block, which have integrated Bitcoin into their corporate strategies. MicroStrategy, in particular, was highlighted for its stock’s 537% outperformance relative to Amazon over the past year following its adoption of Bitcoin.

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Additionally, the think tank noted that Amazon’s second-largest shareholder, BlackRock, operates the iShares Bitcoin Trust ETF, the largest Bitcoin-based investment fund, further underscoring Bitcoin’s rising prominence among institutional investors. Despite Bitcoin’s well-documented volatility, the proposal emphasized the potential benefits of diversifying Amazon’s balance sheet with a modest allocation to the cryptocurrency.

The timing of the proposal aligns with similar discussions in other major corporations. Microsoft is set to hold a shareholder vote on December 10 to assess Bitcoin adoption, following a presentation by MicroStrategy Chairman Michael Saylor. Saylor projected that a Bitcoin-focused strategy could add $5 trillion to Microsoft’s market capitalization, highlighting the potential transformative impact of such a move.

Editorial Note: This news article has been written with assistance from AI. Edited & fact-checked by Harshajit Sarmah.