Meta Urged to Swap $72B Cash and Bonds Reserves for Bitcoin as Inflation Hedge

• Ethan Peck’s proposal urges Meta to allocate part of its $72B reserves to Bitcoin, citing inflation risks and Bitcoin’s superior long-term returns over bonds.
• With Bitcoin adoption growing among corporations, leaders like Zuckerberg and Andreessen show openness, aligning with global trends in financial innovation.

According to Ethan Peck’s proposal, submitted on behalf of his family, inflationary risks tied to holding fiat currencies and low-yield bonds—comprising 28% of Meta’s $256 billion total assets as of Q3 2024—make Bitcoin a compelling alternative. Peck argued that Bitcoin’s fixed supply and inflation-resistant characteristics offer a more viable solution.

In a recent tweet, Tim Kotzman, CEO and founder of Jubilee Royalty, revealed that Peck, an employee of The National Center for Public Policy Research, submitted the proposal on behalf of his family’s shares.

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

Peck formally proposed that Meta allocate a portion of its $72 billion in cash reserves and bonds to Bitcoin. Highlighting Bitcoin’s price performance, Peck noted its 124% surge in 2024, far surpassing bond yields, and its 1,262% outperformance over bonds in the past five years. He also cited MicroStrategy, whose Bitcoin-heavy strategy led to a 2,191% stock price increase during the same period, far exceeding Meta’s growth.

Meta Leaders Show Interest

Peck’s proposal referenced the enthusiasm of Meta leaders like CEO Mark Zuckerberg and director Marc Andreessen for Bitcoin. He cited BlackRock’s recommendation of a 2% Bitcoin allocation for portfolios and the growing trend of corporate adoption of Bitcoin as a treasury strategy. The proposal urged Meta to evaluate Bitcoin’s benefits and its potential impact on shareholder value.

In a 2023 podcast, David Marcus shared Zuckerberg’s positive view of Bitcoin, stating, “He likes Bitcoin.” Marcus, now CEO of Lightspark, reflected on his frustrations with traditional financial systems and his experience leading Facebook’s Libra project, suggesting openness to innovative financial solutions like Bitcoin.

Peck has also extended similar proposals to Amazon and Microsoft, advocating Bitcoin adoption as a reserve asset. Corporate interest in Bitcoin continues to rise, with companies like MicroStrategy leading the charge, holding 447,470 BTC as of January 2025.

In a recent CNF update, Bitcoin surpassed Meta in market cap and is targeting Alphabet, signaling a significant turning point for crypto. Currently, Bitcoin (BTC) is trading at $96,426.47, reflecting a 5.48% increase in the past day but a 4.63% decline over the past week.

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