Morgan Stanley Capital International (MSCI) recently announced that it will not move forward with its proposal to remove digital asset treasury companies from its global equity indexes.
This preliminary decision means that companies like Strategy Inc., which hold significant amounts of Bitcoin, will remain in MSCI’s global benchmark indexes at least until the next review in February 2026.
Following the announcement, Strategy’s stock price surged by about 6% in after-hours trading.
01 Core Decision
MSCI, one of the world’s most influential index providers, has sent a strong signal to the market. The company announced it will maintain its current rules and will not exclude digital asset treasury companies from its global equity indexes during the February 2026 review.
MSCI defines DATCOs as "companies where digital assets account for 50% or more of total assets."
This decision responds to a market consultation MSCI launched in October last year, which had proposed excluding such companies—a move that sparked widespread concern in the market.
MSCI stated it will initiate a broader consultation in the future to explore how best to address companies whose primary holdings are non-operating assets, such as digital assets.
02 The "Iceberg" the Market Avoided
The market largely views MSCI’s pause as a short-term positive. Its main value lies in averting an imminent, large-scale forced sell-off.
Industry analysts estimate that if MSCI had proceeded with removing DATCOs, it could have triggered massive rebalancing by passive funds tracking the index, potentially resulting in $10–15 billion in forced sales.
Buoyed by the news, Strategy Inc.—at the center of the storm—saw its stock price jump about 6% to 7% in after-hours trading.
Strategy also responded on social platform X, calling this "a major victory for neutral index construction and economic reality."
03 The Debate and Concerns Behind the Decision
MSCI’s initial concern was that some DATCOs operate more like investment funds than traditional operating companies.
Analysts point out that one direct trigger for this review was recent actions by companies like Metaplanet, which raised capital through preferred share issuance to buy Bitcoin, further reinforcing their image as "investment vehicles."
Since MSCI released its consultation paper on October 10, 2025, the market has been pricing in this risk. For example, Strategy’s stock price fell about 40% over that period.
A joint opposition letter signed by more than 1,500 industry participants was submitted to MSCI, arguing that the proposal "failed to reflect the actual operating models of these companies."
04 An Unresolved Future
While the immediate crisis has been averted, the long-term inclusion of DATCOs in mainstream financial indexes remains uncertain. MSCI has postponed the issue until the next quarterly review in February 2026 and committed to a broader consultation.
At that time, MSCI will focus on how to distinguish between investment companies and those whose core business involves holding non-operating assets.
This broader review could lead to new, more complex inclusion criteria in the future, such as evaluation standards based on financial statements or other metrics.
The episode also highlights the challenges and delays traditional financial markets face when classifying and evaluating new asset types like cryptocurrencies.
05 Bitcoin and the Market’s Immediate Reaction
The cryptocurrency market remained relatively steady after MSCI’s decision was announced. As of January 7, 2026, the latest data shows the price of Bitcoin hovering around $92,515.55.
There was no significant volatility compared to pre-announcement levels, indicating that the market had largely priced in the positive outcome.
For users of trading platforms like Gate, MSCI’s decision has stabilized sentiment around "Bitcoin-linked stocks" such as Strategy in the short term.
This may offer a clearer and more stable macro policy environment for trading related digital assets and equities, reducing the risk of sudden liquidity shocks from forced index rebalancing.
Outlook
For investors, this event is far from over. While MSCI’s decision brings short-term stability, it also sets a clear direction for future reviews.
Companies like Strategy have stock prices that are closely correlated with Bitcoin. As of January 7, Bitcoin was trading at about $92,515.55 on Gate, and its future price movements will continue to directly impact the asset values and index evaluations of these DATCOs.
The outcome of the next, broader consultation will determine whether these digital asset "whale" companies can maintain their place at the heart of mainstream finance.
