Win for Strategy: MSCI keeps crypto treasury companies in indexes
MSCI announced it will keep digital asset treasury companies in its global indexes, citing investor feedback and the need for further study on non-operating firms.
Shares in Michael Saylor’s Strategy rose 5% after Morgan Stanley Capital International (MSCI) decided not to exclude digital asset treasury companies from its market index, for now.
In a note published Tuesday, MSCI said digital asset treasury companies (DATCOs) would, however, be subject to broader consultations to distinguish between investment companies and other companies that hold digital assets as part of their core operations.
The MSCI identifies DATCOs as companies in which digital assets make up 50% or more of their total assets.
The continued inclusion ensures that DATs are still eligible for passive index funds, sustaining demand and liquidity while broadening institutional ownership of digital assets.
Exclusion could have seen Strategy and other DATs lose billions of dollars in passive capital inflow.
Related: Bitcoin advocate Machado in running to replace Venezuela’s Maduro
Strategy, the largest crypto treasury company with 673,783 Bitcoin (BTC), fell 4.1% during Tuesday’s trading hours but rose 5% in after-hours following the news, Google Finance data shows.
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