Strategy faces potential removal from major benchmarks amid asset scrutiny
Key Takeaways
- The unraveling of Strategy’s market premium is now putting the company at risk of being cut from major equity indices.
- JPMorgan analysts warned that as much as $2.8 billion could exit if MSCI excludes the stock, with billions more at stake across other index-linked funds.
Strategy faces the risk of being removed from major equity indices. According to Bloomberg, JPMorgan analysts warned the company could lose its place in benchmarks such as MSCI USA and the Nasdaq 100.
MSCI is reviewing policies affecting companies whose digital asset holdings exceed half of their total assets, a change that could trigger as much as $2.8 billion in outflows if applied to Strategy.
The firm’s Bitcoin-heavy balance sheet, once the driver of a massive valuation premium, now mirrors crypto-market volatility more than traditional equity behavior.
The pressure is also spilling into Strategy’s funding structure, as preferred shares fall sharply and yields rise, signaling investors are questioning the sustainability of a model that once relied on market momentum, cheap capital, and Bitcoin appreciation.
MSCI expects to announce its decision soon after completing market consultations on the proposed digital asset exclusion policies.
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
You may also like
Ethereum News Today: Ethereum Faces $2,800 Test—Will It Surge to $3,000 or Retreat to $2,300?
- Ethereum tests $2,800 resistance, key threshold for November, with potential to rebound toward $3,000 if breakout succeeds. - Recent $55.7M inflow into ETH ETFs, led by Fidelity’s FBETH, signals cautious institutional interest after nine-day outflow streak. - Technical indicators show improved momentum with RSI rebound and MACD stabilization, but $2,800 remains critical for further gains. - Derivatives data and Coinbase’s ETH-backed lending expansion hint at conditional recovery, though liquidation risks
Ethereum Updates: Centralized DNS Compromise Highlights DeFi Weaknesses as Aerodrome Suffers $1 Million Loss
- Aerodrome Finance suffered a DNS hijacking attack on Nov 22, 2025, redirecting users to phishing sites that siphoned over $1M in assets through deceptive transaction approvals. - Attackers exploited vulnerabilities in centralized domain registrar Box Domains, forcing users to approve unlimited access to NFTs and stablecoins via two-stage signature requests. - The protocol shut down compromised domains, urged ENS-based access, and revoked recent token approvals, marking its second major front-end breach i
Trump and Mamdani’s Bet on Affordability: Uniting Opposing Ideologies
- Trump and Mamdani's Nov. 21 meeting highlights clashing ideologies on affordability and governance, with New York's $1.286T economy at stake. - Both leaders share focus on cost-of-living crises but differ sharply on solutions, with Trump threatening federal funding cuts and Mamdani advocating rent freezes. - Experts see the dialogue as critical for redefining strained city-federal relations, emphasizing urban centers' role as economic engines. - Mamdani's corporate tax proposals clash with Trump's deregu
Bitcoin News Update: Navigating Crypto’s Balancing Act to Steer Clear of 2018’s Downturn as Global Economic Conditions Evolve
- Crypto markets avoid 2018-style collapse as macro-driven cycles and reduced speculation prolong volatility, per Lyn Alden. - Fed policy uncertainty and leveraged ETF launches highlight risks and innovations amid $2.2B crypto outflows and $914M liquidations. - MSTR's BTC gains and Gunden's $1.3B sell-off reflect divergent investor strategies, while Munari's Solana project targets long-term adoption. - Analysts split between 65-70% Bitcoin retracement forecasts and prolonged cycles driven by institutional
Trending news
MoreCrypto prices
More
