Strive Asset Management Opposes MSCI's Bitcoin Index Exclusion Proposal
Strive Asset Management has sent a letter to MSCI CEO Henry Fernandez, strongly opposing the index provider's latest proposal to exclude companies with Bitcoin holdings exceeding 50% of total assets from major equity benchmarks. Strive warns that the plan could create uneven results globally, as companies report Bitcoin differently under U.S. GAAP and IFRS accounting standards. The Nasdaq-listed firm urged MSCI to rely on optional 'ex-digital-asset treasury' index variants instead of redefining eligibility for broad benchmarks. These custom indexes already exist for sectors like energy and tobacco.
As the 14th-largest public corporate Bitcoin holder, Strive holds more than 7,500 BTC on its balance sheet. Its executives argued that the proposal would 'depart from index neutrality' and asked MSCI to 'let the market decide' how bitcoin-heavy firms are treated. Co-founded by Vivek Ramaswamy and Anson Frericks in 2022, Strive has a mission to 'depoliticize corporate America.'
MSCI's Rule Could Trigger Billions in Passive Outflows
The rule change could affect major players like Strategy (formerly MicroStrategy), which holds 650,000 BTC. JPMorgan estimates MSCI's exclusion could trigger $2.8 billion in passive outflows from Strategy alone. If other index providers follow suit, the total could rise to $8.8 billion. Strive's letter criticized the 50% threshold as 'unjustified, overbroad and unworkable.' Many bitcoin treasury companies operate real businesses, including AI data centers, structured finance, and cloud infrastructure. Miners such as MARA, Riot, Hut 8, and CleanSpark are pivoting into renting excess power and compute capacity.
The firm drew comparisons to other industries. Indexes do not exclude energy companies with large oil reserves or gold miners whose value depends on metals. Applying a bitcoin-specific rule, Strive argued, imposes an investment judgment on benchmarks meant to remain neutral.
Accounting Differences and Market Volatility Create Challenges
Executives also highlighted market volatility and accounting differences. Bitcoin's price swings could push companies in and out of eligibility from quarter to quarter. Derivatives or structured products further complicate exposure calculations. Strive warned that strict rules could push innovation abroad. U.S. markets may face penalties, while international companies benefit from IFRS treatment. The firm believes the proposal may stifle new bitcoin-backed financial products. MSCI plans to announce its decision on January 15, 2026, before the February index review.
Industry Reaction and Next Steps
Strive is among several firms lobbying against the proposal. Its argument centers on fairness, neutrality, and market choice rather than restricting investor access. Last week, Strategy's Michael Saylor clarified that Strategy is a publicly traded operating company with a $500 million software business and a treasury strategy using Bitcoin, not a fund, trust, or holding company. Saylor's remarks aim to reinforce that Strategy's core business is separate from its Bitcoin holdings, challenging MSCI's exclusion logic. The decision is highly anticipated, with stakeholders awaiting MSCI's final ruling in early 2026.