Strategy is challenging a proposed MSCI index methodology that would screen out companies whose operating assets fall below 50 percent of total assets, a change that could remove the Bitcoin treasury firm from widely tracked global benchmarks. MSCI opened a consultation targeting companies that have operating assets lower than 50% of total assets, according to The Block. If adopted, the proposed screen would cut three companies from MSCI's global indexes in November, with Strategy the largest affected name by some distance, Decrypt reported.
In an Aug. 31 letter, Strategy tied its challenge to a regulatory argument that MSCI itself made four years ago, CryptoSlate noted. The Bitcoin treasury company says the new methodology requires MSCI to judge whether Bitcoin belongs inside an operating business, a determination that could reclassify firms holding digital-asset reserves as non-operating entities. By highlighting MSCI’s prior regulatory stance, Strategy is effectively asking the index provider to remain consistent with its own past assertions about what constitutes an operating asset.
The stakes are heightened by the November timeline, which leaves a narrow window for MSCI to revise or clarify the criteria before the three companies are removed. Because MSCI global indexes serve as foundations for passive funds and exchange-traded products, any exclusion could alter institutional exposure and trading liquidity for the affected shares. Index membership also influences portfolio allocation models and benchmark-aware mandates, meaning a delisting can trigger systematic rebalancing across multiple investment vehicles. For Strategy, a Bitcoin treasury company, the consultation therefore carries weight beyond a simple classification change, as it could reshape how the market values enterprises that hold Bitcoin as a primary reserve.
Strategy’s response attempts to shift the debate from a subjective assessment of business models to a question of regulatory precedent. The firm contends that the proposed framework places MSCI in the role of arbiter over what counts as a legitimate operating asset. If MSCI concludes that Bitcoin cannot sit inside an operating business, the precedent could extend beyond digital assets to other unconventional treasury holdings, potentially reshaping how index providers evaluate corporate balance sheets across sectors.
MSCI’s proposed threshold would capture firms that have converted substantial portions of their treasuries into Bitcoin, treating those holdings as non-operating by default. Strategy argues that this framework effectively penalizes enterprises whose treasury strategy centers on digital assets, even when the assets are held as long-term reserves rather than short-term positions. The classification issue strikes at the heart of whether digital commodities can be treated as integral to a company’s ongoing operations. The outcome of the consultation will likely set a template for how other index providers treat corporations with significant cryptocurrency reserves, influencing whether public companies choose to hold Bitcoin at scale and how they report those positions to investors. As the November deadline approaches, Strategy’s challenge underscores the tension between traditional index construction and evolving corporate treasury strategies that treat Bitcoin as a core component of long-term value preservation.