KEY POINTS
- $BTC plunged to $94,000 earlier Tuesday then climbed in the $97,000 highs within hours
- Crypto users criticized Microsoft for its 'track record' of missing tech waves
- Microsoft missed the search engine wave, as well as the smartphone frenzy
The cryptocurrency community wasn't surprised that Microsoft shareholders rejected a proposal to diversify the tech behemoth's investment portfolio to include Bitcoin.
Bitcoin prices dropped to $94,000 amid the news but quickly bounced back late Tuesday and was trading above $97,000 early Wednesday.
So Why Did Microsoft Reject the Proposal?
Microsoft's Chief Financial Officer Amy Hood explained during the virtual annual meeting Tuesday morning that the company's board and treasury team "looks at all the asset classes available to us" and indicated that the company is still watching "the evolution of crypto."
She emphasized that the company values liquidity.
Ahead of the Dec. 10 shareholders vote, the Microsoft board of directors had urged shareholders to vote against the "unwarranted" proposal to invest in BTC, saying it was already considering the idea carefully.
Microsoft's rejection of the world's largest cryptocurrency by market cap even though Bitcoin maximalist Michael Saylor pitched a strategy to the tech leader.
In his three-minute presentation, Saylor claimed Microsoft "can't afford to miss the next technology wave."
Crypto enthusiasts believe Microsoft will enter the market late, as it has done with other tech developments.
Crypto Users Blast Microsoft's History of Missing Tech Waves
Crypto users say Microsoft has a track record of missing out on tech innovations.
Microsoft's track record on missing tech waves is longer than a CVS receipt. Betting against Bitcoin feels like betting against the internet back in the 90s. Guess we'll see how that pans out.
— Vince @rockodefi (@0xVinnieJames) December 10, 2024
One user described Microsoft's misses as being "longer than a CVS receipt." CVS Pharmacy's receipts are infamous for being very long. "Betting against Bitcoin feels like betting against the internet back in the 90s," the user added.
And they will try to get in late and bad as with the Windows mobile.
— GR (@GuilleRusso) December 10, 2024
Others pointed out that the company has "always" rejected "lifetime opportunities."
They always say no to lifetime opportunities.
— SOB'Ⓜ️🕊™ (@Sob__NE) December 11, 2024
Microsoft is old people club.
— Don Vito (@netpro2011) December 10, 2024
Another user mentioned that the company will eventually have FOMO (fear of missing out) and will "get Bitcoin at the price they deserve," which may be much higher than current levels.
A Look Back at Microsoft's Tech Misses
In the late 1990s, search engines were the craze. Google grabbed the opportunity and remains the market leader. Microsoft later attempted to compete with its Bing browser but lags the market leader.
In the early 2000s, smartphones and mobile devices revolutionized interaction. Apple sped past Microsoft with its iPhone. Microsoft's Windows phone failed to catch sizeable market share.
On the other hand, Microsoft has a leading hand in the AI revolution due to its partnership with OpenAI.
With the convergence of AI and crypto, it remains to be seen whether Microsoft will jump in.
Bitcoin remains up by over 130% in the past year.
