Meta (FACEBOOK, INC.) | Bitcoin treasury assessment at at Meta (FACEBOOK, INC.)

Status
Filed
AGM date
Previous AGM date
Proposal number
13
Resolution details
Company ticker
FB
Lead filer
Individual
Resolution ask
Conduct due diligence, audit or risk/impact assessment
ESG theme
  • Governance
ESG sub-theme
  • Shareholder rights
Type of vote
Shareholder proposal
Filer type
Shareholder
Company sector
Technology
Company HQ country
United States
Resolved clause
Shareholders request that the Board conduct an assessment to determine if adding Bitcoin to the Company’s treasury is in the best interests of shareholders.
Supporting statement
As of September 30, 2024, Meta has $256 billion in total assets, $72 billion of which is cash, cash equivalents and marketable securities, including US government bonds and corporate bonds.1 Since cash is consistently being debased and bond yields are lower than the true inflation rate,2 28% of Meta’s total assets are consistently diminishing shareholder value simply by sitting on the balance sheet.

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.



Due to its verifiable fixed supply, Bitcoin is the most inflation-resistant store of value available. This is especially true compared to other liquid assets.

As of December 20, 2024, the price of Bitcoin increased by 124% over the previous year,3 outperforming bonds by roughly 119% on average.4 Over the past five years, the price of Bitcoin increased by 1,265%,5 outperforming bonds by roughly 1,262% on average.6

Meta founder, CEO and Chairman Mark Zuckerberg named his goats “Bitcoin” and “Max.”7 Meta director Marc Andreessen has praised Bitcoin8 and is also a director at Coinbase.

Do Meta shareholders not deserve the same kind of responsible asset allocation for the Company that Meta directors and executives likely implement for themselves?

Meta’s second largest institutional shareholder, BlackRock, advised that a 2% Bitcoin allocation is reasonable.9 The reasoning behind that allocation holds true for Meta’s assets as well.

Corporate and institutional Bitcoin adoption is becoming more commonplace and proving to be an effective strategy. For example, MicroStrategy stock has outperformed Meta stock by 2,191% over the past five years;10 more public companies are adding Bitcoin to their treasuries every week;11 BlackRock’s Bitcoin ETF is the fastest growing ETF in history;12 and the US federal government and some state governments may form Bitcoin strategic reserves in 2025.13

Meta has always been a forward thinking, innovative company—not a company that follows technological trends, but one that sets them. The Company has an opportunity to honor that tradition by being a leader in corporate Bitcoin adoption and corporate treasury management apt for the 21st century.

At minimum, Meta should evaluate the benefits of exchanging some—even just a few percent—of its cash and bonds for Bitcoin.

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