Microsoft will usher in the era of BTC? MicroStrategy's founder says embracing it will make you earn 1 trillion dollars

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MicroStrategy founder publicly urges Microsoft CEO to invest in BTC

According to the report of "encryption City," Microsoft will hold its annual shareholder meeting on December 10 and vote on the proposal to "evaluate investment in BTC." Upon learning of this news, Michael Saylor, the founder of MicroStrategy, which is currently the biggest BTC enthusiast among enterprises, directly invited Microsoft CEO Satya Nadella on the social media platform X (formerly known as Twitter), suggesting that Microsoft should consider incorporating BTC into its financial strategy. In his post, he said, "Hey! Satya Nadella, if you want to earn the next $1 trillion for Microsoft shareholders, please give me a call." This call has led to widespread follow-up in the market.

Image source: Michael Saylor, founder of MicroStrategy, calls on Satya Nadella, CEO of Microsoft, to incorporate Bitcoin into its financial strategy.

The Microsoft board of directors recommends shareholders to vote against the BTC investment proposal

From previous reports, we can know that the Microsoft board is reserved about this and recommends shareholders to vote against the proposal. They stated in the documents submitted to the US Securities and Exchange Commission that there is no need to specifically assess the investment in BTC, as the management has already carefully considered Crypto Assets in financial planning.

Microsoft emphasizes that its global finance and investment services team regularly evaluates various assets with the goal of maintaining Liquidity, dropping financial risks, and ensuring long-term returns for shareholders.

Microsoft's current investment strategy is mainly focused on low-risk assets such as US government securities and corporate bonds to ensure stability and predictability of funds. According to multiple sources, Microsoft holds approximately $75 billion to $104 billion in cash, most of which is invested in these low-risk assets. The board is concerned about the volatility of BTC and believes that the company's financial assets should have predictability and stability to effectively support the company's operations.

MicroStrategy's BTC strategy brings a lucrative return on investment

Meanwhile, MicroStrategy has achieved tremendous success through massive investment in BTC. Since 2020, the company has been continuously purchasing BTC and as of August, it has accumulated nearly 214,000 BTC, with a total investment of over 7.4 billion US dollars. This has made MicroStrategy the publicly listed company with the largest BTC holdings globally, with its stock outperforming Microsoft by 313% this year, despite MicroStrategy's relatively smaller scale in the tech industry.

Saylor firmly believes that Bitcoin is the best long-term store of value investment as a "digital gold". He believes that BTC's volatility actually creates opportunities for global liquidity and credit, which is an advantage rather than a defect. According to the foreign media "The Block", Saylor openly stated that MicroStrategy will develop into a "BTC bank", and the company's market cap is expected to grow from the current approximately $47 billion to $1 trillion.

Source: Google Finance MicroStrategy Stock Performance (since the beginning of 2024)

The potential of BTC and the future outlook of Microsoft

The price of BTC has risen by over 95% since last year, with a Market Cap of approximately $1.3 trillion as of October 2024. Saylor believes that if Microsoft embraces BTC, it will help protect the company's assets from inflation and provide lucrative returns for shareholders. However, Microsoft CEO Satya Nadella has not responded to Saylor's call.

As the December shareholders' meeting approaches, the market follows whether Microsoft will consider changing its investment strategy and embracing Bitcoin as a new asset. The impact of Saylor's public invitation on the shareholders' voting results remains to be seen. Regardless of the outcome, this appeal has once again sparked discussion on the role of BTC in corporate financial strategies.

【Disclaimer】There are risks in the market, and investment needs to be cautious. This article does not constitute investment advice. Users should consider whether any opinions, views, or conclusions in this article are suitable for their specific circumstances. Investing based on this is at your own risk.

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