MSCI delays controversial proposal
Strategy shares jumped more than 6% in after-hours trading on Tuesday. This happened after MSCI announced it wouldn’t move forward with a plan to remove digital asset treasury companies from its benchmark indexes. The proposal was scheduled for review in February 2026, but now it’s on hold.
The stock had actually fallen about 4% during regular trading, closing near $158. That’s quite a drop from its July 2025 peak of $434, according to Yahoo Finance data. But the after-hours bounce suggests investors are relieved, at least for now.
What this means for Strategy
The decision lets Strategy, which used to be called MicroStrategy, stay in MSCI’s Global Investable Market Indexes. Other companies that hold Bitcoin on their balance sheets also get to remain. This is important because index inclusion affects how much institutional money flows into these stocks.
But here’s the thing – MSCI isn’t completely dropping the issue. They’re just pausing it. There’s still uncertainty about whether these digital asset firms will keep qualifying for index inclusion in the future. The index provider plans to launch a broader consultation about how to classify companies that are more investment-oriented than operational.
The background context
Investors had warned MSCI that some of these digital asset treasury companies resemble investment funds. And investment funds aren’t eligible for MSCI equity indexes. That’s what sparked the original proposal last October.
That proposal raised serious concerns. Some analysts estimated it could trigger up to $8.8 billion in investment outflows if implemented. For Strategy specifically, it was seen as a risk to future funding and stock performance. The stock has been pretty volatile lately, partly because Bitcoin’s price has been declining and markets have been unstable.
What happens next
For now, digital asset treasury companies that hold digital assets equal to at least 50% of their total assets will remain in the indexes if they’re eligible. But MSCI is freezing any increases in share counts or inclusion factors. They’re also deferring additions or size-segment upgrades until the review is complete.
Strategy had been pretty vocal about opposing the original proposal. They urged MSCI’s Equity Index Committee to reconsider, arguing that it unfairly treats operational digital asset treasury companies as investment funds. They also said it risked market disruption and conflicted with U.S. digital finance policy.
I think this pause gives everyone some breathing room. But it’s not a permanent solution. The broader consultation MSCI plans could still lead to changes down the road. For Strategy shareholders, today’s price movement is a positive sign, but the long-term picture remains uncertain.
The stock is up about 4% so far this year, which isn’t bad considering the broader market conditions. But it’s still way down from those 2025 highs. Maybe this MSCI decision helps stabilize things a bit. Or perhaps it just delays the inevitable. Hard to say right now.
