MSCI adopts index exclusion rules that could oust Strategy
MSCI has adopted a methodology making non-operating companies ineligible for its global indexes, with Strategy, Metaplanet and Upexi previously flagged for deletion and a final list due on 11 November.
Why it matters: MSCI's decision could push index-tracking funds to sell crypto treasury companies' shares, affecting passive demand for stocks such as Strategy.
Key points
- MSCI will assess companies on operating assets and five financial ratios, with failure of at least four tests potentially making them ineligible.
- Strategy, Metaplanet and Upexi were previously identified for deletion; Sharplink, Ton Strategy Company, Solana Company and DeFi Development Corp. face a watchlist.
- JPMorgan analysts estimated Strategy's exclusion could trigger roughly $2.8bn in selling, though that estimate concerned MSCI's earlier digital asset proposal.
MSCI has adopted index exclusion rules that could oust Strategy, Metaplanet and Upexi from its global indexes, the index provider said on Thursday. The methodology, proposed in August, makes non-operating companies ineligible for the MSCI Global Investable Market Indexes.
Sharplink, Ton Strategy Company, Solana Company and DeFi Development Corp. are among those that would be placed on a watchlist for potential removal.
JPMorgan analysts previously estimated Strategy's exclusion could trigger roughly $2.8bn in selling, though that estimate concerned MSCI's earlier digital asset proposal.
What to watch: MSCI will release the final list of companies to be removed on 11 November, with the changes taking effect on 30 November 2026.
Live updates on NewsFeeds:BitcoinDesk editor: Keshav Aggarwal (accountable for this page; this summary was not edited by hand)
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