MicroStrategy has formally requested that MSCI withdraw a proposed eligibility test that could lead to the company’s removal from MSCI’s global benchmarks. The software and business intelligence company, which holds a significant amount of Bitcoin on its balance sheet, argues that the proposed rule is discriminatory and targets digital asset treasuries.
In a letter published Monday, August 31, 2026, MicroStrategy urged MSCI to withdraw the proposed rule, part of a consultation on ‘non-operating companies.’ This proposed test includes five flags measuring operating asset intensity, expenses, cash flow, fair-value swings, and dependence on external financing. According to MicroStrategy, companies must fail two consecutive annual reviews before being removed from the benchmarks.
MicroStrategy contends that its Bitcoin treasury operations, when accounted for according to its established principles, do not trigger the proposed expense or fair-value flags. The company stated that it books Bitcoin fair-value changes within operating expenses, a treatment it believes aligns with securities laws and accounting principles. MicroStrategy executives have previously warned MSCI that excluding companies with digital asset treasuries could harm U.S. national security.
The MSCI consultation, which opened in August, is set to close for feedback on September 30, with results due by October 16. Any changes to the benchmarks are expected to be effective in the November index review. MSCI’s consultation estimates that three companies—MicroStrategy, Yellow Cake, and Metaplanet—could be deleted from its global benchmarks if the rule is implemented. MicroStrategy accounts for approximately 87% of the float-adjusted market capitalization at stake among these companies.
JPMorgan analysts previously estimated in November 2025 that an MSCI exclusion could lead to $2.8 billion in outflows from affected ETFs. This figure could potentially rise to $11.6 billion if other index providers were to follow suit. MicroStrategy has also requested that MSCI place a legal hold on documents related to the development of the proposed eligibility test.
MSCI had previously declined to implement a similar proposal concerning a 50% crypto-holdings threshold in January. The current proposal is seen by MicroStrategy as a repackaging of that earlier effort. The company believes the proposed rule is misguided and could significantly harm MSCI’s reputation as a neutral index provider.
Why This Matters
The materials describe a narrow update: MicroStrategy sent a letter to MSCI requesting the withdrawal of a proposed eligibility test for index inclusion. The outcome of this request remains uncertain.
Broader Context
Source materials place the factual news in this context: MSCI is a provider of global benchmarks.
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