🚨 Strategy to be removed from MSCI indices — its bitcoin-buying mechanism is at risk
Index provider MSCI announced that Michael Saylor’s company will be removed from its stock indices effective November 30. The reason is new rules under which companies that primarily hold investment assets are treated as fund equivalents.
📉 According to JPMorgan, the removal could trigger $2.8 billion in MSTR stock sales by index funds.
☝️ Why does this matter for BTC? Strategy finances its bitcoin purchases in part by issuing new shares. Lower demand for MSTR could make it harder to raise capital and reduce future BTC purchases.
#BTC #MSTR
Index provider MSCI announced that Michael Saylor’s company will be removed from its stock indices effective November 30. The reason is new rules under which companies that primarily hold investment assets are treated as fund equivalents.
📉 According to JPMorgan, the removal could trigger $2.8 billion in MSTR stock sales by index funds.
☝️ Why does this matter for BTC? Strategy finances its bitcoin purchases in part by issuing new shares. Lower demand for MSTR could make it harder to raise capital and reduce future BTC purchases.
#BTC #MSTR