Summary:
MSCI halts plans to exclude crypto treasury firms from indexes
Immediate forced selling risk for crypto-linked stocks avoided
Bitcoin proxies retain benchmark inclusion for now
Broader review of non-operating firms still coming
Longer-term index treatment of crypto exposure remains uncertain
Earlier: Bitcoin rises as PwC leans into crypto on US regulatory shift
Global index provider MSCI has stepped back from an immediate overhaul of how crypto-heavy companies are treated in its benchmarks, a move that removes a near-term overhang for the digital asset sector while signalling tougher scrutiny may still lie ahead.
MSCI said it will retain its current approach to so-called digital asset treasury companies, firms where cryptocurrencies account for more than 50% of total assets, and will not exclude them from its global indexes as part of the February 2026 review. Instead, the index provider plans to launch a broader consultation on how non-operating companies should be classified and weighted.
For crypto markets, the decision is notable because it avoids a potentially disruptive forced selling event. An exclusion of crypto treasury firms from major benchmarks could have triggered mechanical selling by passive and index-tracking funds, amplifying volatility not only in affected equities but also in underlying digital assets such as Bitcoin. Indeed, the expected MSCI exclusion was widely cited as a critical factor in the crypto sell off back on October 10 last year and the extended down draft that followed.
The pause offers short-term relief to companies that have effectively become leveraged proxies for crypto exposure. Strategy Inc., which holds more than $60 billion worth of bitcoin, remains in MSCI’s global benchmarks for now. Its shares jumped around 6% in after-hours trading following the announcement, while other crypto-linked stocks such as Bitmine Immersion also saw gains.
Beyond individual stocks, the episode highlights a growing tension between traditional index construction rules and the evolving structure of crypto-centric businesses. MSCI acknowledged investor concerns that some digital asset treasury companies resemble investment vehicles rather than operating firms, a classification that could eventually reshape index eligibility.
While MSCI has deferred any immediate exclusions, it also made clear that index support will not expand. Share count adjustments, inclusion factor increases and size-segment upgrades for affected firms have been put on hold.
For crypto markets, the message is mixed: near-term stability has been preserved, but the longer-term debate over how crypto exposure fits into mainstream equity benchmarks is far from settled.
