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• Microsoft shareholders voted down a proposal for the company to possibly buy bitcoin.
• A think tank proposal called for the tech giant to add bitcoin to its balance sheet.
• MicroStrategy’s Michael Saylor had pitched Microsoft’s board on the benefits of holding bitcoin.

A bid for Microsoft to consider investing in bitcoin was struck down by investors during Tuesday’s annual shareholder meeting.

Microsoft shareholders voted against a ballot proposal that was submitted by the National Center for Public Policy Research. The think tank called for the tech company to evaluate the benefits of adding bitcoin to its corporate balance sheet, arguing that the token is an “excellent” inflation hedge.

The proposal, attached to Microsoft’s proxy statement, also cited that bitcoin has outperformed corporate bonds, and is a promising way to diversify the firm’s treasury.

But shareholders balked at the measure, following the board’s recommendation to vote against the proposal. The board has noted that it already considers cryptocurrency investments, but prefers to stick with less volatile assets.

According to Bloomberg, proxy advisory firms such as Glass Lewis agreed with the move, citing the lack of evidence that crypto investments would boost returns.

Even the virtual appearance of MicroStrategy’s cofounder Michael Saylor failed to persuade investors. The crypto evangelist spoke on behalf of NCPPR’s proposal at the meeting, Bloomberg reported.

“You can convert your cash flows and your dividends and your buybacks and your debt into Bitcoin,” he said. “If you do that, you’ll add hundreds of dollars to the stock price.”

Saylor has previously pitched Microsoft on the idea of amassing bitcoin. In a presentation he made to Microsoft’s leadership, he argued that bitcoin’s valuation will jump from $2 trillion to over $200 trillion in 21 years — if Microsoft invests, it has the potential to add nearly $5 trillion in market value over the next decade.

Saylor’s confidence likely comes from a strict adherence to his own thesis, which has paid off for his company in recent years.

MicroStrategy stock has rocketed 460% year-to-date as it sits on a trove of bitcoin. Investors have treated MicroStrategy as a proxy for the crypto rally.

Though Microsoft may skip the bitcoin rally, NCCPR’s efforts don’t end there. Previously, the think tank sent a nearly identical proposal to Amazon. According to Bloomberg, it may also contact other firms.