MSCI Will Not Exclude Bitcoin Treasury Companies From Global Indexes

Source: CryptoNewsNet Original Title: MSCI Will Not Exclude Bitcoin Treasury Companies Like Michael Saylor’s Strategy From Global Indexes Original Link: In a major development for Bitcoin-focused corporations and the broader digital asset ecosystem, global index provider MSCI has concluded its review of digital asset treasury companies (DATCOs) and decided against excluding them from its flagship indexes.

MSCI said the current treatment of affected companies will remain unchanged for now, meaning DATCOs already included in MSCI indexes will stay included as long as they continue to meet existing eligibility requirements.

The index provider acknowledged feedback from institutional investors expressing concern that some digital asset treasury companies resemble investment funds, which are typically excluded from its indexes.

At the same time, MSCI said distinguishing between investment-oriented entities and operating companies that hold digital assets as part of their core business requires further research and market input.

As a result, MSCI said it plans to launch a broader consultation on the treatment of non-operating companies, while deferring any exclusions, additions, or size-related changes for DATCOs in the interim, according to the company announcement.

The Move Reverses Market Fears

The move reverses fears that have swirled in financial and crypto markets for months that firms holding a majority of their assets in Bitcoin and other digital assets could be stripped from widely tracked global equity benchmarks like the MSCI All Country World and Emerging Markets indexes.

The proposal, first announced by MSCI late last year, would have effectively classified DATCOs — public companies with greater than 50% of assets in digital assets — as fund-like entities rather than operating companies, and thus ineligible for inclusion in its core indices.

That framework had ignited fierce criticism from industry players and advocates.

Industry Pushback Against MSCI

Digital asset treasury companies and other DATCOs had been at the center of the debate. They formally urged MSCI to scrap the proposal, arguing that excluding firms based on asset composition alone would be “misguided,” “arbitrary,” and could destabilize index neutrality.

In an open letter to the MSCI Equity Index Committee, these companies stressed that DATCOs are operating companies, not passive funds, and should not be judged solely on balance sheet Bitcoin holdings.

Industry coalitions also mobilized support, framing the move as discriminatory and warning that exclusion could trigger billions in passive outflows and broader market dislocations.

Analysts had projected potential capital flight of billions from affected companies if MSCI followed through with exclusion, with broader estimates of forced selloffs across crypto treasuries ranging much higher.

Market Relief

The decision ends that uncertainty. It preserves the status of DATCOs within MSCI’s suite of indexes and avoids triggering index-linked passive selling that had loomed as a structural market risk.

Market reaction was swift: shares of digital asset heavyweights saw immediate relief buying, with some experiencing gains of over 7% after the news broke.