Global think tank proposed Bitcoin reserve to Amazon

A global think tank has recommended Amazon include Bitcoin in its strategic reserve by next year. This suggestion is the same one Microsoft suggested by Michael Taylor a few weeks ago.

The National Center for Public Policy Research, an independent global conservative think tank based in Washington DC, has recommended a Bitcoin (BTC) strategic reserve to Amazon, the world’s 5th largest company.

The proposal aims to bid the $88 billion company’s cash and cash equivalents, which includes U.S. government, corporate and foreign securities, to consider adding Bitcoin to its strategic reserve by the next annual meeting in April 2025.

“Amazon should consider adding to its treasury assets that appreciate more than bonds, even if they are more volatile in the short term, and perhaps it has a fiduciary duty to do so.”

Based on the document shared in Tim Kotzman X’s post on December 09.

The US inflation rate peaked at 9.1% in June 2022, which is the main reason why the company adopted Bitcoin like other companies. Since bond interest rates do not exceed real inflation, it is not enough to protect billions of dollars of shareholders by holding these assets.

The National Center also noted that Bitcoin’s performance last year rose to 131%, outperforming bonds by 126%. It has also outperformed corporate bonds by 1,246% in one year.

MicroStrategy as an example of Amazon Comparison of MSTR and AMZN shares in one year, December 09, 2024 | Source: TradingView

MicroStrategy took action in 2020 by adding Bitcoin as its financial asset, and now its stock performance is up 594%, outpacing shares of Amazon (AMZN), which is up just 57% in a year.

A few weeks ago, MicroStrategy chairman Michael Saylor also pitched his Bitcoin reserve for Microsoft; The company will make a decision this week.

They also noted that Saylor’s action follows many companies and institutions, including BlackRock and Fidelity, which launched a Bitcoin ETF earlier this year.

As a result, the National Center recommended that Amazon diversify its balance sheet by adding at least 5% of its assets to Bitcoin. This is not only part of the move that tech companies must make, they also need to protect their assets and shareholders’ value with the invincible inflation of digital assets.