CryptoSlate
MSCI approved new eligibility rules that could remove Strategy from its Global Investable Market Indexes, with the final affected constituents due Nov. 11 and implementation after the Nov. 30 close. JPMorgan estimated in November 2025 that deletion could trigger about $2.8 billion in passive MSTR selling. Strategy’s shares are already 68.7% below their running peak.
Why it matters
The rules target companies classified as non-operating businesses and replace an earlier framework focused on firms holding digital assets worth at least 50% of total assets. Companies that fail MSCI’s operating-asset screen face five financial-ratio tests, and must be flagged on at least four. Existing constituents must fail across two annual filing periods before removal.
For Strategy, the risk extends beyond index flows. The company has used a premium over the value of its Bitcoin holdings to issue common stock and finance additional purchases. A sustained decline in that premium would make equity-funded accumulation less attractive and could increase reliance on preferred securities, debt or existing liquidity.
Market impact
Strategy reported buying 250 BTC for $21.5 million in the week ending Oct. 11, funded mainly by $21 million from common-share sales. It also spent $192.4 million repurchasing STRC preferred stock. Its holdings reached 848,250 BTC, acquired for about $64 billion, while its dollar reserve stood at $4.88 billion, with another $640.5 million available for broader treasury purposes.
The immediate selling impact remains contested. Analyst Adrian Morris said the estimated $2.8 billion would equal about 96% of one average trading day and 0.5% of year-to-date turnover. The key watchpoint is whether MSTR demand absorbs rebalancing flows or whether the pressure compresses the premium that supports Strategy’s Bitcoin financing model.
Frequently asked questions
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When will MSCI announce the companies affected by its new rules?
MSCI is scheduled to publish the final affected constituents on Nov. 11. Any changes would take effect after the Nov. 30 market close.
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How much MSTR selling did JPMorgan estimate from a possible MSCI deletion?
JPMorgan estimated that removing Strategy could trigger about $2.8 billion in passive selling of MSTR shares.
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Why does MSTR’s stock premium matter to Strategy’s Bitcoin strategy?
Strategy has used a premium over the value of its Bitcoin holdings to issue common shares and fund additional purchases. A lower premium would make that financing method less attractive.
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How much Bitcoin did Strategy report holding?
Strategy reported holdings of 848,250 BTC, acquired for approximately $64 billion.
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Could MSTR trading volume absorb the potential index-related selling?
Analyst Adrian Morris said the estimated $2.8 billion would equal about 96% of one average trading day and 0.5% of year-to-date turnover. The near-term effect will depend on demand during rebalancing.
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