Strategy Slams MSCI Rule as a 'Pretext' to Exclude Bitcoin Companies

Strategy Inc. ) on Monday called MSCI’s proposed index eligibility test a pretext to exclude Bitcoin treasury companies Tuesday, urging the index provider to withdraw it entirely.What Strategy Is Actually Arguing?Strategy published a formal response to MSCI’s consultation, signed by Executive Chairman Michael Saylor and CEO Phong Le, calling the proposed non-operating company screen a repackaged version of MSCI’s own withdrawn 2025 proposal.The language changed but the outcome is the same: digital asset treasury companies get excluded.Strategy’s core objection is that MSCI’s “operating” and “non-operating” classifications have no basis in US GAAP, IFRS, or any recognized legal framework.The company reports its Bitcoin treasury operations as a separate operating segment under US GAAP, consistent with discussions with SEC staff, and argues it does not trigger four of MSCI’s five flags as a result.Bitcoin-related expenses exceed 5% of total assets, and Bitcoin fair-value changes appear as operating expenses rather than non-operating asset changes.Beyond the accounting argument, Strategy warned that injecting MSCI’s own policy judgments into index construction creates fiduciary concerns for institutions tracking its benchmarks and raises questions under EU benchmark rules and IOSCO transparency principles.Who Gets Hit by the ProposalAs August, MSCI’s test flags companies whose core business assets fall below 50% of total assets, then applies five financial ratio screens. Failing four of the five results in index exclusion.When MSCI ran simulations against May 2026 data, Strategy and Metaplanet MTPLF) failed outright while SharpLink Gaming (NASDAQ:SBET) landed on a watchlist.Strategy alone represents roughly 87% of the float-adjusted market value affected across the six identified companies.Funds tracking MSCI’s Global Investable Market Indexes currently hold just 3.1% of Strategy’s basic shares outstanding, limiting the direct impact on the company. However, Strategy sees the precedent as a much bigger concern than the immediate effect.What’s the Timeline for MSCI’s Decision?DateMilestoneSeptember 30Feedback deadlineOctober 16Results expectedNovember 2026Changes folded into the index review, if the proposal passesWhere MSTR Stands Technically?.benzinga-widget#bz-embed-widget-block_506a5945aac46d5295e8235f4fcf278f iframe.w-full {width: 100%; }MSTR pulls back to $129 in premarket Tuesday after closing up 4.42% at $132.94 Monday, easing off the $135 to $137 resistance zone that capped the prior rally.The 100-day EMA at $122.83 is the nearest support on this dip, with a push back through $135 confirming continuation toward $150.Image: Shutterstock