Meta shareholder proposes to Mark Zuckerberg’s company to convert part of its 72 billion dollars in cash into bitcoin to protect against inflation

A Meta shareholder has proposed that the company should convert part of its $72 billion cash into bitcoin to protect against inflation, as part of a broader effort to push tech giants to diversify their reserves into cryptocurrency.

Ethan Peck, a Meta shareholder, has submitted a proposal to Mark Zuckerberg's company that would see the social media giant allocate a portion of its cash into bitcoin.

In his proposal, Peck argues that Meta may have already lost 28% of the value of its cash due to monetary depreciation. He cites figures showing that bitcoin has outperformed bonds by 1262% over the past five years, highlighting its potential as a store of value.

Peck also appeals to the personal connections between Meta's leadership and bitcoin. He points out that Zuckerberg named his goats “Bitcoin” and “Max,” while Marc Andreessen, a member of Meta's board, is also on the board of Coinbase.

“Don’t Meta shareholders deserve the same prudent investment strategy that its leaders adopt?” Peck writes in the proposal.

The proposal is based on the premise that bitcoin, with its verifiably fixed supply, “today represents the best protection against inflation.”

The effort is part of a larger campaign by the National Center for Public Policy Research, a Washington, D.C.-based think tank that advances free market principles. In 2024, the organization submitted similar proposals to Microsoft and Amazon, attempting to persuade the tech giants to invest in bitcoin.

The results of these efforts have varied so far. On December 10, Microsoft shareholders rejected a proposal to invest 1% of the company's $484 billion in assets into bitcoin. Another proposal for Amazon to invest in bitcoin is pending and will be considered at the company's annual meeting in April 2025.

According to Nick Cowan, CEO of Valereum, several factors could explain the reluctance of these companies to allocate significant cash to bitcoin, despite the potential gains.

“The company is large, dominant in its industry and has a lot of stakeholders to please, and bitcoin is inherently volatile, which makes it difficult for these companies to allocate large amounts of cash to the asset,” Cowan said.

The proposal to Meta could be a defining moment in this effort. If Zuckerberg's company decides to invest some of its cash in bitcoin, it would set a major precedent that could influence the entire tech sector.