When you buy MSTR, you’re buying Bitcoin—but what could kick you out might be a spreadsheet from MSCI.
Under the proposed new rules, companies with less than half their assets tied to operating businesses would be removed if they also meet four out of five financial criteria. MSCI’s own simulation singled out Strategy, Metaplanet, and Yellow Cake; JPMorgan estimates that MSTR alone could face $2.8 billion in forced selling.
Bitcoin can drop more than 30% and it’s fine—but the index-rebalancing notice arrives first.
Pick a side: should they be kicked out (a Bitcoin fund dressed up as a publicly listed company), or not (they do have more than 1,500 employees, after all)?
Under the proposed new rules, companies with less than half their assets tied to operating businesses would be removed if they also meet four out of five financial criteria. MSCI’s own simulation singled out Strategy, Metaplanet, and Yellow Cake; JPMorgan estimates that MSTR alone could face $2.8 billion in forced selling.
Bitcoin can drop more than 30% and it’s fine—but the index-rebalancing notice arrives first.
Pick a side: should they be kicked out (a Bitcoin fund dressed up as a publicly listed company), or not (they do have more than 1,500 employees, after all)?