The National Center for Public Policy Research suggested that Amazon should consider creating a Bitcoin treasury, citing MicroStrategy's success in increasing its stock value by 537% through its own Bitcoin strategy.
The National Center for Public Policy Research, a think tank located in Washington DC that supports free markets, has put forth a proposal to Amazon Corp suggesting that they consider implementing a Bitcoin corporate treasury strategy at their shareholder meeting in April 2025.
A recent letter from a think tank criticized the Consumer Price Index (CPI) as an inadequate measure of inflation. The authors of the letter believe that the actual inflation rate could be much higher than the reported 4.95% and could potentially be double that figure.
The letter mentioned that Amazon's $88 billion in cash and short-term cash equivalents could be significantly affected by this, and they suggested using BTC as a hedge to protect shareholder value. The National Center for Public Policy Research expressed this concern.
On December 6, 2024, the price of Bitcoin rose by 131% compared to the previous year, surpassing the performance of corporate bonds by 126% on average. Over the last five years, Bitcoin's price has increased by 1,246%, outperforming corporate bonds by an average of 1,242%.
The authors suggest that Amazon should consider allocating at least 5% of its assets to Bitcoin in order to safeguard the value of its treasury assets. They also mentioned the success of MicroStrategy's Bitcoin treasury strategy as a reference.
A proposal from shareholders has been submitted to Amazon. The information comes from Tim Kotzman and Dennis Porter.
MicroStrategy is able to overlook the decline in Bitcoin prices to $20,000, according to research.
MicroStrategy is encouraging businesses to start using Bitcoin as part of their treasury reserves. The company, along with its founder Michael Saylor, played a key role in making the corporate Bitcoin treasury strategy more widely known and accepted by other companies and pension funds.
Based on the MicroStrategy Tracker, the value of the company's Bitcoin holdings is currently more than $40 billion. This has resulted in MicroStrategy making a profit of around $17 billion.
The present performance of MicroStrategy. (Source: MSTR Tracker)
MARA, a mining company previously called Marathon Digital, mirrored MicroStrategy's actions by raising $1 billion through a convertible note offering with no interest due in November 2024. MARA utilized this capital to buy 6,474 Bitcoin to add to its corporate treasury.
In November, the company Genius Group decided to convert its treasury assets into Bitcoin. They began accumulating Bitcoin by purchasing 110 BTC at an average price of around $90,932 per coin.
Article: Meitu, a company often referred to as "China's MicroStrategy," has recently sold off all of its Bitcoin and Ethereum holdings. This news was reported by Asia Express