Strategy challenges MSCI’s ‘non-operating’ label – What changes for MSTR?

Strategy, the world’s largest Bitcoin treasury firm, has asked global index provider MSCI Inc. to withdraw its latest exclusion proposal. 

The firm called MSCI’s proposal ‘misguided’ and opposed it on four grounds. First, the move is biased and targets DATs (digital asset treasuries). 

The proposal is a pretext for targeting DATs, repackaging MSCI’s own withdrawn 2025 proposal to exclude companies with 50%+ digital asset holdings in a different language, but reaching the same result.

MSCI wants to exclude firms it calls ‘non-operating‘ companies that buy and hold assets, ideally acting like passive investment funds. For an index provider, only active businesses with real operating cash should be included in its Global Investable Markets Indexes (GIMI). 

Strategy defends MSTR, other DATs on MSCI indices

The latest MSCI expanded exclusion framework would exclude MSTR, Metaplanet, and a firm that buys and holds Uranium. Beyond targeting crypto, Strategy discredited the proposal as flouting key laws and standards. 

It added that the exclusion plan goes against U.S accounting standards, securities law, and MSCI’s market neutrality. 

Notably, Strategy slammed MSCI’s classification of Bitcoin as a “non-operating” asset and added,