Strategy Faces Potential Index Exclusion Over Bitcoin Holdings

The investment firm Strategy is confronting a critical juncture that could reshape its standing in major market indices. Index provider MSCI is conducting a review, with a conclusion expected by January 15, 2026, to determine whether the company should be reclassified as a “fund” rather than an operational business entity. This reassessment is directly linked to Strategy’s substantial Bitcoin reserves. Analysts at JPMorgan estimate that such a reclassification could trigger forced selling by passive funds totaling approximately $8.8 billion.

Strategy’s shares traded near their 52-week low on Friday, around $155, even as Bitcoin itself saw modest gains, priced at $89,334. This divergence highlights a growing investor concern. The premium the stock once Read more...