A recent shareholder proposal submitted to Meta has sparked discussions about integrating Bitcoin into corporate treasury strategies. Ethan Peck, representing his family’s shares, has urged the social media giant to allocate a portion of its $72 billion in cash reserves to Bitcoin, highlighting its potential to combat inflation and preserve wealth.
Bitcoin as an Inflation Hedge
Peck’s proposal underscores Bitcoin’s fixed supply as a critical factor that makes it an inflation-resistant asset. He argued that Meta’s cash reserves are devaluing nearly 28% over time due to inflation, and Bitcoin offers a superior alternative. Over the past five years, Bitcoin has outperformed bonds by an impressive 1,262%, showcasing its potential as a store of value.
Pointing to Meta CEO Mark Zuckerberg’s affinity for Bitcoin—evident in naming one of his goats “Bitcoin”—and board member Marc Andreessen’s pro-crypto stance, Peck questioned why Meta shareholders should not benefit from the same level of asset protection.
Prior Efforts to Promote Bitcoin
This is not the first time Bitcoin proponents have targeted major corporations. The National Center for Public Policy Research, a think tank promoting free-market policies, has previously submitted similar proposals to tech giants like Microsoft and Amazon.
In December 2024, Microsoft shareholders voted against a proposal recommending the allocation of 1% of its $484 billion in assets to Bitcoin. Meanwhile, Amazon is scheduled to review a comparable proposal in April 2025. The think tank has criticised traditional inflation metrics like the Consumer Price Index (CPI), claiming the actual inflation rate is double what the CPI reflects.
Why Big Tech Hesitates
Despite Bitcoin’s growing popularity, large tech firms remain cautious about adopting it as a treasury asset. According to Nick Cowan, CEO of fintech firm Valereum, companies like Meta are in strong financial positions and are hesitant to introduce volatility into their reserves.
Bitcoin’s high price fluctuations and lack of native yield-generation capabilities make it less appealing for corporations managing substantial assets. These concerns, coupled with the conservative financial strategies often employed by industry leaders, have slowed the adoption of Bitcoin as a mainstream treasury asset.
Yet, entire nations are taking bold steps by investing significant portions of their budgets and assets in Bitcoin, despite its volatility and unpredictable market shifts. Countries like El Salvador have embraced Bitcoin as a reserve asset and a strategic investment to hedge against inflation and currency devaluation. This willingness to take risks at the state level eventually could challenge the more cautious stance of major tech companies in the long run.
The Road Ahead
While the proposal to integrate Bitcoin into Meta’s treasury strategy has reignited the debate, large corporations remain resistant due to concerns about stability and risk. However, with growing advocacy and increasing awareness of Bitcoin’s potential as a hedge against inflation and the growing inflation, the conversation surrounding its adoption is likely to continue gaining momentum. The inevitability of Bitcoin adoption, whether sooner or later, is becoming increasingly apparent as global financial systems face mounting challenges. Forward-thinking companies that recognise this opportunity early stand to gain a significant strategic advantage, positioning themselves ahead of the curve in the evolving digital economy.