Driving a Stake Through Corporate Cryptocurrency Involvement : Why the Practice Fails the Stakeholder Ethical Analysis

Corporate cryptocurrency involvement from accepting, holding, or otherwise promoting cryptocurrencies have received criticism from the negative societal externalities incurred. Some argue that investing in cryptocurrencies is unethical, as doing so diverts financial resources away from traditional investments, such as stocks and bonds, which result in job creation, safer products, and more environmentally friendly products. And some argue that corporate holding of cryptocurrencies violates established standards of environmental, social, and corporate governance (ESG) investing because the currency results in environmental harm and is used to support illegal activities. This Article argues that corporate investment in cryptocurrencies and the acceptance of cryptocurrencies as payment violates the stakeholder theory of corporate ethics. This is the emphatic conclusion drawn after analyzing the numerous harms and minimal benefits these practices offer to corporate stakeholders. The implications of this research have far-reaching implications, as we appear to be at a critical juncture given a convergence of factors, such as environmental sustainability, the application of stakeholder ethics to corporations, ESG investing, and cryptocurrency salience. The novel framework for evaluating business decisions regarding the adoption of cryptocurrencies provided in this Article is a valuable tool not only in the present instance but for future stakeholder analysis as well. In this way, this Article will hopefully serve as a powerful catalyst to ignite future research involving a more robust analysis of the effects of corporate behavior