Meta Shareholder Proposal Calls for Bitcoin Treasury Allocation to Hedge Against Inflation

A shareholder proposal submitted to Meta by Ethan Peck, an advocate for Bitcoin adoption, has called on the social media giant to convert a portion of its $72 billion in cash and short-term cash equivalents into Bitcoin (BTC). The proposal aims to help Meta hedge against the growing threat of inflation, with Peck arguing that Bitcoin, due to its fixed supply, is one of the most inflation-resistant stores of value available.

Peck, who is affiliated with The National Center for Public Policy Research, based the proposal on concerns about the erosion of Meta's cash assets over time due to inflation. He claimed that Meta is currently losing 28% of its cash assets annually as a result of inflation. In his proposal, Peck pointed to Bitcoin's impressive performance over the past five years, with the cryptocurrency outperforming bonds by a staggering 1,262%.

"Mark Zuckerberg named his goats 'Bitcoin' and 'Max,'" Peck wrote, referencing the Meta CEO's affinity for the cryptocurrency. "Meta director Marc Andreessen has praised Bitcoin and is also a director at Coinbase. Do Meta shareholders not deserve the same kind of responsible asset allocation for the Company that Meta directors and executives likely implement for themselves?"

Peck's proposal is part of a broader initiative by The National Center for Public Policy Research to encourage major corporations to diversify their treasury holdings into Bitcoin. In 2024, similar proposals were submitted to Microsoft and Amazon shareholders, calling for a small percentage of corporate assets to be allocated to Bitcoin to protect against inflation and currency debasement. However, these proposals have faced resistance, with Microsoft shareholders voting against the Bitcoin treasury proposal in December 2024.

The recent push for Bitcoin adoption as a corporate treasury asset is gaining momentum, but the response from major tech firms has been tepid. Although some industry leaders like Marc Andreessen and Zuckerberg have expressed admiration for Bitcoin, the idea of allocating corporate funds to the volatile cryptocurrency remains a hard sell for most major companies.

The hesitancy to adopt Bitcoin as a treasury asset among Big Tech firms is largely attributed to their size and dominant positions in the market, which allow them to maintain profitability without needing to take on the risk associated with Bitcoin’s volatility. Additionally, Bitcoin's lack of yield-bearing opportunities—unlike traditional investments such as bonds—makes it a less attractive option for companies looking to preserve or grow their capital.

In addition to Bitcoin’s volatility, some critics argue that inflation measures, such as the Consumer Price Index (CPI), are inadequate gauges of the real inflation rate. The National Center for Public Policy Research has suggested that the actual inflation rate is likely double that of the CPI, further underlining the need for a more effective hedge against inflation.

Despite these challenges, the debate over Bitcoin’s role in corporate treasury management is expected to continue, with proponents highlighting its potential as a store of value and hedge against currency debasement. The proposal to Meta, while likely to face significant resistance, adds to the growing conversation around Bitcoin’s potential to disrupt traditional financial systems and corporate finance strategies.

As the April 2025 Amazon shareholder meeting approaches, similar proposals are expected to resurface, potentially sparking further debate over Bitcoin’s place in corporate treasury management. Whether Big Tech companies will ultimately embrace Bitcoin as a hedge against inflation remains to be seen, but the conversation around the cryptocurrency’s role in corporate finance is clearly gaining traction.