Strategy responds to MSCI’s proposal to exclude firms with over 50% digital assets from global indexes
The post Strategy responds to MSCI’s proposal to exclude firms with over 50% digital assets from global indexes appeared on BitcoinEthereumNews.com.
Strategy has planted a flag against MSCI’s proposal to remove digital asset treasury companies (DATs) from its Global Investable Market Indexes. According to the company, the wiser course for MSCI, for investors, and for the broader economy is for MSCI to remain neutral and let the markets decide the course of DATs. According to Cryptopolitan, MSCI argued that crypto treasury companies are more like investment funds than operating companies. However, Strategy led by Executive Chairman Michael Saylor argued that it builds Bitcoin-backed credit instruments, manages an active corporate treasury program, and maintains a global enterprise analytics software business, not a passive vehicle for tracking price movements. Investors buy the company’s strategy and management, not a static wrapper for Bitcoin. “Strategy is not an investment fund, and it does not passively hold Bitcoin. Strategy is an operating business that actively uses the Bitcoin it holds to create returns for shareholders,” the company wrote. Strategy says the proposal is discriminatory, arbitrary, and has zero positive effect The company warned that implementing the proposal’s 50% threshold is discriminatory, arbitrary, and has zero positive effect. It singles out digital asset businesses while leaving untouched companies in other industries with similarly concentrated holdings in oil, timber, gold, media and entertainment, and real estate. Additionally, Strategy stated that such a move would disrupt market stability. The leading corporate holder of Bitcoin is urging MSCI to consider DATs as operating entities that contribute to economic progress and innovation. Strategy also claimed that the proposal is believed to conflict with US policy. President Trump signed an executive order to promote the growth of digital financial technology. The administration also established a Strategic Bitcoin Reserve and promoted the inclusion of digital assets in 401(k) plans. The company also requested that MSCI provide further consultation. “MSCI should allow time for…
