MSCI drops plan to exclude digital asset treasury firms, to launch broader review

Jan 6 (Reuters) – MSCI said on Tuesday it will not proceed with a proposal to exclude digital asset treasury companies, or DATCOs, from its indexes, but will launch a broader consultation on how non-operating companies should be treated.

MSCI said it would maintain the existing treatment of companies on its preliminary list of DATCOs, defined as those whose digital asset holdings account for 50% or more of total assets.

That means Strategy will remain in the firm’s global benchmarks for now.

Shares of Strategy rose around 6% in after-market trading. The stock slumped about 47.5% in 2025.

“MSCI confirmed Digital Asset Treasury Companies will remain in MSCI Indexes for the Feb 2026 review. A strong outcome for neutral indexing and economic reality,” Strategy said in a post on X.

MSCI said that feedback from investors showed concern that some DATCOs share characteristics with investment funds.

“Distinguishing between investment companies and other companies that hold non-operating assets, such as digital assets, as part of their core operations rather than for investment purposes requires further research and consultation with market participants,” MSCI said in the statement.

“For instance, assessing index eligibility across a range of these types of entities may require additional inclusion assessment criteria, such as financial-statement-based or other indicators.”

(Reporting by Prakhar Srivastava in Bengaluru; Editing by Alan Barona)