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Cryptocurrency News Articles

Amazon Reportedly Considers Allocating 5% of Its Assets to Bitcoin

Dec 16, 2024 at 05:11 pm

The National Center for Public Policy Research (NCPPR), the group that submitted the proposal, argues that despite only 5%, investing in Bitcoin could have a major impact on Amazon's long-term value.

Amazon Reportedly Considers Allocating 5% of Its Assets to Bitcoin

Jakarta - Technology giant Amazon, founded by Jeff Bezos, is reportedly considering allocating 5% of its assets to Bitcoin. This plan was initiated by a group of shareholders who proposed the investment as a strategy to protect the company from inflation and capitalize on Bitcoin's immense growth potential.

To give you an idea, Bitcoin had an outstanding performance in 2024, with a price increase of 131%. Over the past five years, its value has skyrocketed by more than 1,200%. This figure is striking in comparison to the returns generated by conventional investments, such as corporate bonds or cash deposits, which are typically employed by Amazon.

The proposal was submitted by the National Center for Public Policy Research (NCPPR), which maintains that an allocation of 5% to Bitcoin could significantly enhance Amazon's long-term value.

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Several companies, including Tesla and MicroStrategy, have already invested in Bitcoin and erzielt substantial profits. Even Microsoft, another major technology company, is rumored to be preparing a vote on a similar investment in the near future.

However, while the idea is intriguing, executing it will not be straightforward. The proposal for the asset allocation to Bitcoin must first be approved by the board of directors before being submitted at a shareholders' meeting in April 2025. If approved, Amazon will likely begin the investment gradually, considering the extreme volatility of Bitcoin.

Furthermore, there are whispers that Amazon may take steps to integrate Bitcoin as a payment method, which could potentially transform the way consumers shop on the platform.

Ultimately, the decision will largely depend on Amazon's major shareholders, such as Vanguard and BlackRock, as reported by CryptoPotato. If they express support, the probability of this investment will increase.

The English, Chinese, Japanese, Arabic, and French versions are automatically generated by the AI. So there may still be inaccuracies in translating, please always see Indonesian as our main language.

Original source:voi

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