The stock fell 9.6% in a day, but Strategy didn’t sell a single one of its 848,000 BTC.
#Strategy shares fell 9% on Friday
MSCI announced a new rule after the U.S. market closed on Thursday: companies that mainly hold assets and have little actual business will no longer be eligible for its indexes. Friday was the first full trading day under the news, and MSTR plunged from $151 to close at $136.80.
Its average cost per coin is just over $75,000. At today’s price of a little over $81,000, it still has around $5 billion in unrealized gains. It’s the stock wrapper that’s taking a hit.
Even its preferred stock, STRC, fell to 97.7, its lowest level since mid-September. Those who hold it for the dividends have had a rough week too.
JPMorgan estimated that a removal from the index could trigger around $2.8 billion in passive selling. The list will be announced on November 11.
If I want to own Bitcoin, I’d still rather hold the coins directly. Buying MSTR means taking an index eligibility test along with it.
#Strategy shares fell 9% on Friday
MSCI announced a new rule after the U.S. market closed on Thursday: companies that mainly hold assets and have little actual business will no longer be eligible for its indexes. Friday was the first full trading day under the news, and MSTR plunged from $151 to close at $136.80.
Its average cost per coin is just over $75,000. At today’s price of a little over $81,000, it still has around $5 billion in unrealized gains. It’s the stock wrapper that’s taking a hit.
Even its preferred stock, STRC, fell to 97.7, its lowest level since mid-September. Those who hold it for the dividends have had a rough week too.
JPMorgan estimated that a removal from the index could trigger around $2.8 billion in passive selling. The list will be announced on November 11.
If I want to own Bitcoin, I’d still rather hold the coins directly. Buying MSTR means taking an index eligibility test along with it.