Strategy Challenges MSCI’s Proposed Index Test
- Bitcoin treasuries are at the center of a dispute between Strategy Inc. and MSCI.
- Strategy Inc., led by Michael Saylor, argues MSCI’s test is “discriminatory” and could lead to its removal from the Global Investable Market Indexes.
- MSCI’s proposed methodology targets companies with digital asset holdings exceeding certain thresholds, potentially affecting Strategy, Metaplanet, and Yellow Cake.
- The consultation period for the proposal ends on Sept. 30, with a decision expected by Oct. 16.
- Strategy maintains that its bitcoin operations are part of its core business, not merely passive investments.
The conflict arises from MSCI’s plan to exclude companies like Strategy based on their digital asset holdings, which Strategy argues misclassifies their business model as non-operating. This could impact funds tracking MSCI indexes that hold significant shares in these companies.
If implemented, MSCI’s new screening could lead to the exclusion of major players like Strategy from key market indexes due to their bitcoin assets, affecting billions in market capitalization.Source
