A shareholder of Facebook’s parent company Meta urged Mark Zuckerberg to add Bitcoin to its treasury assets by converting a portion of the social media company’s $72 billion cash into crypto.
Ethan Peck recommended turning a portion of Meta’s cash assets into the firstborn crypto to enhance shareholder value and protect it from inflation.
Bitcoin Proposal
Crypto analyst Tim Kotzman revealed in an X post that a shareholder named Ethan Peck submitted a proposal to Meta, asking the tech giant to make Bitcoin a part of the company’s treasury assets.
“The shareholder, Ethan Peck, who is an employee at The National Center for Public Policy Research – the organization that submitted to $MSFT & $AMZN – informed me he submitted on behalf of his family’s shares,” Kotzman said in a post.
Peck, who submitted the Bitcoin proposal, works for the Washington DC-based research organization National Center for Public Policy Research. He said that he asked the Zuckeberg-led company to improve the value of Meta’s shares with the help of crypto. Peck’s family owns several shares in the company.
A #Bitcoin Treasury Shareholder Proposal has been submitted to Meta.
The shareholder, Ethan Peck, who is an employee at The National Center for Public Policy Research – the organization that submitted to $MSFT & $AMZN – informed me he submitted on behalf of his family’s shares. pic.twitter.com/KrAKw7nHwp
— Tim Kotzman (@TimKotzman) January 10, 2025
Crypto Could Fight Diminishing Value Of Cash
Peck said that 28% of Meta assets are constantly reducing the shareholder value by simply being on the balance sheet, arguing that cash is regularly being debased while yields from bonds are lower than the true inflation.
“Meta should – and perhaps has a fiduciary duty to – consider replacing some, or some percentage of those assets with assets that appreciate more than bonds, even if those assets are more volatile short-term,” Peck noted in the proposal.
BTCUSD trading at $93,461 on the daily chart: TradingView.com
Hence, the shareholder believes that crypto would solve this issue, saying, “Bitcoin is the most inflation-resistant store of value available.”
“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 told Meta in the proposal.
2% Crypto Allocation
Peck cited that Meta could follow BlackRock’s 2% BTC allocation which can be applied to the company’s Bitcoin strategy. BlackRock is Meta’s second-largest institutional investor.
Peck said that on average, Bitcoin has outperformed bonds by approximately 119%, adding that last year, the price of the top coin surged by 124%.
“Over the past five years, the price of Bitcoin increased by 1,265%, outperforming bonds by roughly 1,262% on average,” he explained.
Institutional adoption of Bitcoin has now become a common scenario in the corporate world as numerous public companies are “adding Bitcoin to their treasuries every week.” It is a treasury strategy that proves to be good for companies.
Peck argued that Meta is a company that does not go with technological trends because the company is the one who set them, saying that it can become a leader in institutional Bitcoin adoption if it takes this opportunity.
“Meta should evaluate the benefits of exchanging some – even just a few percent – of its cash and bonds for Bitcoin,” he concluded.
Featured image from Search Engine Journal, chart from TradingView
