MSCI has confirmed that bitcoin treasury company Strategy will be removed from its global equity indexes following a review of corporate eligibility requirements. Japan-based Metaplanet and cryptocurrency treasury firm Upexi are also affected, with all three companies scheduled for deletion after the market close on November 30, 2026.

The announcement ends months of uncertainty surrounding companies that hold substantial cryptocurrency reserves, and could create additional selling pressure as investment funds adjust their portfolios to reflect the updated benchmarks.

Index Changes Take Effect December 1

MSCI published its final November index review on November 11, identifying Strategy's Class A shares for removal from the MSCI USA Index. Metaplanet will exit the MSCI Japan Small Cap Index, while Upexi faces exclusion from the MSCI USA Micro Cap Index. The changes become effective December 1, following the November 30 trading session.

Ethereum treasury company SharpLink, by contrast, remains on a watchlist rather than facing immediate removal, leaving its classification subject to the same eligibility framework in future review cycles.

The exclusions follow MSCI's introduction of updated eligibility requirements designed to distinguish operating businesses from companies that primarily hold investment assets. The methodology examines operating assets and several financial measures to determine whether a company qualifies for inclusion — a distinction that sits at the center of the dispute with Strategy, whose balance sheet is built around bitcoin holdings rather than conventional operations.

Passive Fund Flows in Focus

The removals could affect institutional investment flows because passive funds must adjust their holdings to match their underlying indexes. Investors are therefore monitoring whether the changes will increase selling activity in cryptocurrency-related equities.

JPMorgan previously estimated that Strategy's exclusion could generate approximately $2.8 billion in stock sales, and warned that potential outflows could reach $8.8 billion if other major index providers adopted similar restrictions. Whether those other providers follow MSCI's lead therefore stands out as a key factor in the eventual scale of passive repositioning.

According to Reuters, Strategy shares declined approximately 2.5% in extended trading following the announcement, a reaction that reflected concerns about reduced passive investment demand and the broader implications for digital asset treasury companies.

Strategy Has Challenged the Classification

Strategy previously opposed MSCI's methodology, arguing that the revised eligibility framework unfairly targets companies holding digital assets and that its business model should not automatically disqualify it from traditional equity benchmarks.

The company has also suggested the financial impact could remain manageable, estimating that MSCI-linked funds held approximately 13 million of its shares, representing 3.1% of its basic shares outstanding.

Importantly, index removal does not require Strategy to sell its bitcoin holdings or stop trading on public exchanges. The decision nevertheless underscores growing scrutiny of cryptocurrency treasury businesses and could influence how institutional investors evaluate similar companies.