MSCI announced it will adopt new rules to exclude non-operating companies from its Global Investable Market Indexes, putting bitcoin treasury firms Strategy and Metaplanet at risk of removal from the index.
The index provider launched a consultation in August to expand its definition of non-operating companies, classifying corporate issuers with characteristics similar to investment funds and Business Development Companies as ineligible for inclusion.
How the New Methodology Works
The screening process uses two stages. The initial screen evaluates whether a corporate issuer has substantial operating costs. Companies that fail this stage then undergo an exclusion screen based on five financial ratios: operating asset intensity, expense intensity, cash flow screen, fair value intensity, and capital dependence. Companies flagged on at least four of these five ratios face exclusion.
Timeline and Companies Affected
MSCI will release its final list of companies facing exclusion on November 11. The index provider said constituents that fail the ineligibility screen in two of their most recent annual filings will be removed.
In simulations of the new methodology, Strategy and Metaplanet face potential removal. Other crypto treasury firms including Bitmine, Upexi, Cypherpunk Technologies, and DeFi Development are on the watchlist for possible exclusion.
The new methodology will replace interim measures MSCI had put in place for digital asset treasury companies, effective with the November 2026 Index Review.
