Amazon Shareholders Propose Plan to Invest 5% of Its Reserves in Bitcoin

Amazon is currently exploring the option of investing up to 5% of its treasury into Bitcoin, following the trend of mass adoption institutions.

The National Center for Public Policy Research (NCPPR), a Washington D.C. based think tank, submitted the shareholder proposal for consideration at Amazon’s annual shareholder meeting scheduled for April 2025.

The proposal follows Bitcoin’s impressive performance, reaching an unprecedented ATH of over $100,000. Institutional investors are increasingly seeking to acquire Bitcoin as a strategic reserve, as both a hedge against inflation and a means to preserve shareholder value.

Inflation Threatens Amazon Treasury Reserves

In the proposal, NCPPR argues that Amazon’s $88 billion in cash, cash equivalents, and short-term bonds are vulnerable to inflation. Although the official U.S. Consumer Price Index (CPI) reports inflation to be at 4.95%, the proposal claims the figure underestimates true inflation which may be double the rate reported.

“The average inflation rate in the US over the last four years according to the CPI — a remarkably poor measure of inflation — is 4.95%, peaking at 9.1% in June, 2022. In reality, the true inflation rate is significantly higher, with some studies estimating it to be nearly double the CPI at times. So a corporation’s assets have needed to appreciate at those rates just to break even.” The letter reads in part.

They also added that since Amazon’s cash reserves and bonds keep inflating, the company isn’t doing its best protecting the billions of dollars of shareholder value simply by holding the assets.

Bitcoin Better Than Traditional Assets

The proposal also highlighted Bitcoin’s meteoric performance, backing it as a better alternative to traditional assets.

Specifically, it notes that as of December 2024, Bitcoin’s price rose 131% over the previous year, surpassing corporate bond returns by 126%. It also added that over the past five years, Bitcoin gained 1,246%, significantly outperforming corporate bonds, which rose just 1,242% in comparison.

Further added, the NCPPR showed the case of MicroStrategy, a company that adopted Bitcoin as its primary treasury asset in 2020. They revealed that since then, MicroStrategy’s stock price has surged by 537%, far over Amazon’s 57% gain over the same period of time.

What’s Next for the Proposal?

Amazon’s board of directors will now review the proposal to determine if it will appear in the company’s proxy statement for the April 2025 annual shareholder meeting. If it’s included, shareholders will vote on whether Amazon should assess the possibility of adding Bitcoin to its treasury reserves.

The outcome of the vote could indicate Amazon’s preparedness to embrace digital assets as part of its financial strategy. An approval would pave the way for other tech giants to follow suit, further legitimizing Bitcoin’s stance as a strategic treasury asset.