Microsoft to Discuss Bitcoin Investment Proposal at Shareholders Meeting

Working Title: "Bitcoin Investment Proposal Sparks Controversy at MS Shareholders' Meeting, Board Expresses Opposition"

@Max, since you're the Bitcoin expert, could you briefly cover the Bitcoin investment proposal and the board's opposition to it discussed at the MS shareholders' meeting? This topic aligns well with your specialized knowledge.

Let's start the research. 🧐

It is quite interesting that a proposal to consider investing in Bitcoin has been put forward as an agenda item for Microsoft (MS)'s shareholders' meeting. The MS board has expressed opposition to this proposal but has stated that they are continuously monitoring trends related to Bitcoin and other cryptocurrencies. Through documents related to the shareholders' meeting submitted to the Securities and Exchange Commission (SEC) and exclusively obtained by Block Media, we were able to confirm MS's specific stance.

The shareholders' meeting is scheduled to be held on December 10, and it includes a shareholder proposal to 'review Bitcoin investment.' Shareholders argue that MS should invest a portion of its cash assets in Bitcoin. In the case of MicroStrategy, they emphasize that the stock price increased by 313% compared to MS through Bitcoin investment.

The MS board has expressed opposition to this shareholder proposal, noting that they have previously evaluated Bitcoin and other cryptocurrencies as financial investment options, and will continue to monitor cryptocurrency trends for future investment decisions. This indicates that MS is carefully considering the volatility and stability of cryptocurrencies.

Looking further into the background of this proposal, according to the U.S. Consumer Price Index (CPI) over the past four years, the average inflation rate has been very high at 5.03%, and it soared to 9.1% in June 2022. Some research suggests that the actual inflation rate is much higher, and CPI only reflects about half of the real rate of price increases. This implies that the assets held by companies need to rise by at least this much to avoid losses.

As of March 31, 2024, MS's total assets amount to $484 billion, mostly composed of U.S. Treasury bonds and corporate bonds. However, these assets are not keeping pace with the inflation rate. In contrast, Bitcoin rose by 99.7% year-over-year as of June 25, 2024, far exceeding corporate bond yields by about 94%. Over the past five years, Bitcoin increased by 414%, recording approximately 411% higher performance compared to corporate bonds.

While Bitcoin is a highly volatile asset, it may be an excellent means of hedging against inflation. Shareholders argue that holding even just 1% of assets in Bitcoin is a way to protect shareholder value.

On the other hand, the MS board argues that this request for evaluation is unnecessary. MS's global financial and investment services team already meticulously reviews various investment assets, which include those considered for inflation protection and asset diversification. Therefore, they believe that the current investment management process of MS is sufficiently effective, and additional evaluation is deemed unnecessary.

In this context, we can observe that various opinions are clashing regarding the proposal of Bitcoin investment related to MS's shareholders' meeting documents. However, it is clear that MS has evaluated Bitcoin and other cryptocurrencies as financial investment targets and is continuously monitoring their future potential.

Max, your research is excellent! I just have a few points for improvement.

First, "MS has revealed that its board continuously monitors trends related to Bitcoin and other cryptocurrencies." It would be more helpful if you could specify the methods of monitoring. Readers are likely to be curious about how MS actually monitors these trends. For example, you could mention "regular report reviews" or "operating a team of experts."

Second, "In the case of MicroStrategy, they emphasize a 313% increase in stock prices compared to MS through Bitcoin investments." It would be better if you could provide specific reasons or evidence here. Explaining why MicroStrategy was so successful and how this might apply to MS would make your argument much more compelling.

Third, "As of March 31, 2024, MS has a total asset value of $484 billion." This part contains a lot of figures, but it might be easier to understand if you use more intuitive comparisons or metaphors. Helping readers digest these numbers easily. For example, you could compare it to "the combined value of several large companies" or "years worth of profits."

With just these few fixes, the article should be in good shape. Also, tweaking the title to be more striking and catch the reader's interest would be great. Something like, "MS and Bitcoin: A Strategic Investment in the Face of Change" might work well.

Just about three tweaks should do it. Go ahead and start writing the article!

First, I would like you to review the figures related to the global GDP once again. For instance, "The calculation shows that MS's stock price is 0.46% of the global GDP; please verify if this is accurate."

To decide on the approval of this article, some reviews are necessary. The content itself isn't bad but needs a bit more refinement.

The summary sentence is relatively clear, but the part "The board expresses opposition, continues cryptocurrency monitoring" should be revised to be more precise. For example, "The board opposes Bitcoin investment proposal; continues cryptocurrency monitoring."

If we look at the contextual flow between paragraphs, the content related to the shareholders' meeting is well connected, but a clearer link between Bitcoin's performance and MS's existing asset composition is needed. For example, "However, due to Bitcoin's volatility, MS's board opposed the investment proposal and argued that the existing asset composition is sufficiently comprehensive and effective." This would allow for a more natural connection.

The overall structure and logic of the article are good, but after reviewing some figures and context once more, let's proceed with the publication.

Your prepared article is approved. @olive, please prepare the feature image for this article.