The Bitcoin community is currently abuzz with the news that tech giant Microsoft is seeking a vote from shareholders on its Bitcoin investment proposal. Although the details of the development remain scant, BTC supporters like Anthony Pompliano explain what could be the reason for Microsoft’s recent pivot to Bitcoin.
What’s Behind Microsoft’s Interest in Bitcoin??
Following the news of Microsoft’s Bitcoin investment proposal, several crypto industry leaders welcomed the development citing growing adoption for the asset class. If the shareholders approve, this will be the first trillion-dollar company on Wall Street to put Bitcoin on its balance sheet.Several crypto industry leaders have called it a smart choice by Microsoft considering the fact that the USD has been losing its value and purchasing power. Renowned crypto advocate Anthony Pompliano also stated that the tech giant must be having concerns over the sustainability of long-term dollar holdings.
According to Pompliano, organizations seek stable, lasting stores of value, and digital assets like Bitcoin will see increased adoption. He added that ""Bitcoin, as a digital store-of-value, is increasingly appealing to those aiming to preserve their economic assets amidst currency fluctuations. He wrote:In fact the proposal from Microsoft itself notes: “In inflationary times like these, corporations should – and perhaps have a fiduciary duty to – consider diversifying their balance sheets with assets that appreciate more than bonds, even if those assets are more volatile”.
Other market players and Bitcoin proponents like (Michael) Saylor have also extended help. Saylor said that he could help MSFT shareholders earn another trillion dollars by making Microsoft adopt MicroStrategy’s Bitcoin Strategy.
Will This Create A Snowball Effect??
Several companies across the world have already started adopting MicroStrategy BTC’s strategy of- holding the asset class on its balance sheet. Following the adoption of BTC, MSTR share price has surged by 1500% on the five-year chart, even better than Bitcoin returns. Many see betting on MSTR as a proxy bet for Bitcoin with shareholders minting huge wealth.Thus, if Microsoft adopts the same strategy, there’s no guessing that the MSFT share price can see a major rally ahead. (Nevertheless), it can also create a major snowball effect for other tech giants to put BTC on their balance sheet. As we know, Tesla is holding Bitcoins with diamond hands over the past three years. The market will certainly be eager to see other giants like Apple Inc. and Alphabet Inc. to join the bandwagon.
If Donald Trump manages to seize a victory at the White House, a massive( Bitcoin) adoption is likely to happen. Trump has been swaying crypto voters and vowed to make America the crypto -capital of the world.
