Strive Demands MSCI Reverse Controversial Proposal That Would Exclude Major Bitcoin Holders

An investment heavyweight just fired a shot across the bow of global index provider MSCI. The demand? Scrap a proposed rule change that would effectively blacklist companies with significant Bitcoin holdings from key sustainability indexes.

The Exclusion Clause That's Roiling Crypto

At the heart of the clash is a technical proposal that seems tailor-made to sideline Bitcoin. The new criteria would bar companies from certain ESG (Environmental, Social, and Governance) indexes if they hold or trade cryptoassets deemed to have a high environmental impact—with Bitcoin squarely in the crosshairs. It's a move that critics call a backdoor ban, using sustainability as a pretext to cut traditional finance's emerging rival out of the game.

Why This Fight Matters Beyond the Charts

This isn't just about index composition—it's about legitimacy and capital flows. Inclusion in major MSCI indexes is a badge of institutional acceptance, often unlocking billions in passive investment from pensions and funds that track these benchmarks. Excluding major corporate BTC holders reshapes the investment landscape, potentially starving companies of capital for the 'sin' of embracing digital assets. It's the old guard drawing a line in the sand, and the crypto industry is pushing back hard.

The Ripple Effect for Corporate Strategy

If enacted, the rule would force a stark choice on publicly traded companies: diversify into the future of finance or keep your ESG rating. It pressures treasuries to abandon Bitcoin strategies to maintain their sustainability credentials—a calculation that pits perceived short-term optics against long-term technological adoption. The proposal essentially weaponizes ESG scoring to maintain the status quo, a masterclass in how established finance can regulate by spreadsheet.

Strive's public challenge throws down the gauntlet, framing the issue as one of fair access and technological neutrality. The outcome will signal whether Bitcoin's march into corporate balance sheets faces a formidable new hurdle—one built not on regulation, but on the dry, influential pages of index methodology. After all, what's a little carbon footprint between friends when there's a multi-trillion-dollar financial system to protect?

JPMorgan Warns Strategy Could Lose $2.8B Under MSCI Proposal

JPMorgan analysts recently cautioned that Strategy, a prominent Bitcoin treasury company included in the MSCI World Index, could face as much as $2.8 billion in losses if the exclusion moves forward.

Strategy’s chair, Michael Saylor, has confirmed that discussions with MSCI are ongoing as the company attempts to head off the decision.

Strive CEO Matt Cole argued that the proposal misunderstands the role large Bitcoin-focused firms play in emerging industries, particularly artificial intelligence.

He noted that miners such as MARA Holdings, Riot Platforms, and Hut 8, all potential exclusion targets, are rapidly expanding into AI infrastructure by retooling data centers for high-intensity compute workloads.

“Many analysts argue that the AI race is increasingly limited by access to power, not semiconductors,” Cole wrote, adding that miners are uniquely positioned to meet those needs.

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Even as AI revenue increases, he said, companies will continue holding sizable bitcoin reserves, meaning MSCI’s exclusion would permanently wall off a sector positioned at the intersection of digital assets and next-generation computing.

Cole also pointed to the rising demand for Bitcoin-linked financial products. Firms such as Strategy and Metaplanet function similarly to banks offering structured BTC notes, providing equity-based access to Bitcoin performance without requiring investors to hold the asset directly.

Excluding these treasury companies, he argued, WOULD give traditional financial institutions, including JPMorgan, Morgan Stanley, and Goldman Sachs, an uneven playing field, as index-linked capital would become biased against firms whose business models center on Bitcoin exposure.

Strive Says MSCI’s 50% Rule Would Cause Index “Whiplash”

Strive further challenged the practicality of MSCI’s 50% threshold, noting that tying index eligibility to a volatile asset would cause companies to drift in and out of benchmarks, increasing tracking errors for funds that follow them.

Cole highlighted TRUMP Media & Technology Group as an example. Despite holding one of the largest public Bitcoin treasuries, it narrowly avoided MSCI’s preliminary exclusion list because its BTC exposure currently sits just under the cutoff.

Instead of a blanket rule, Strive proposed a parallel “ex-digital asset treasury” version of MSCI’s indexes.

This would allow asset managers who wish to avoid crypto-heavy companies to do so, while others could maintain exposure to the full investable universe.

MSCI has not yet indicated whether it will revise its proposal, but industry pressure is mounting as treasury-heavy firms await a final decision.