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Strategy Presses MSCI to Drop 50% Crypto Test as Nasdaq 100 Membership Faces Fresh Scrutiny

MSCI’s mid-January decision could trigger large index-tracking outflows if digital-asset treasury companies are ruled ineligible.

Overview

  • Strategy submitted a 12-page letter signed by Michael Saylor and Phong Le arguing that digital-asset treasury companies are operating businesses rather than investment funds.
  • The company calls the 50% asset threshold discriminatory and unworkable, warning of “whipsaw” index changes driven by crypto volatility and by GAAP fair-value rules versus IFRS cost accounting.
  • JPMorgan estimates roughly $2.8 billion could exit Strategy if MSCI removes it, with totals approaching $8–9 billion if other index providers adopt similar exclusions.
  • Analysts say Strategy’s place in the Nasdaq 100 is under review in today’s annual reshuffle, and Jefferies pegs potential passive outflows near $1.6 billion if it is dropped.
  • Industry respondents including Strive proposed optional ex-DAT versions of benchmarks as MSCI weighs how to classify companies with large digital-asset holdings.