In a major development for Bitcoin-focused firms and the broader digital asset ecosystem, MSCI has concluded its review of digital asset treasury companies (DATCOs) and decided not to exclude them from its flagship indexes. The current treatment 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. MSCI acknowledged feedback from institutional investors that some digital asset treasury companies resemble investment funds, which are typically excluded from its indexes, and Strategy argued that excluding firms based on asset composition alone would be misguided. The company also 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, and plans a broader consultation on the treatment of non-operating companies, while deferring any exclusions, additions, or size-related changes for DATCOs in the interim.
Market reaction was swift: shares of Strategy and other digital asset heavyweights rose on the news, with MicroStrategy (MSTR) jumping over 7% in after-hours trading. The decision preserves index neutrality and avoids triggering passive selling, addressing near-term market risk and uncertainty for DATCO exposure in MSCI’s benchmarks. Analysts had projected potential capital flight from Strategy if exclusions were pursued, underscoring the market’s sensitivity to benchmark changes.
MSCI said it would launch a broader consultation on the treatment of non-operating companies, deferring any exclusions, additions, or size-related changes for the time being. The decision preserves the status of DATCOs within MSCI’s indexes and avoids triggering passive selling that had loomed as a structural market risk.
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