Global index provider MSCI has proposed a rule change that could reclassify companies holding more than 50% of assets in cryptocurrencies as funds rather than operating businesses.
The proposal has raised alarm across markets, with critics warning it could penalise firms that adopt Bitcoin (CRYPTO:BTC) as a treasury asset.
Supporters of corporate Bitcoin adoption argue that capital allocation has always been a core responsibility of management under free-market principles.
Companies have historically diversified into cash, commodities, real estate and foreign currencies without facing index exclusion.
The MSCI proposal could see firms like Strategy removed from major global equity indices despite maintaining active operating businesses.
Market observers say the change would effectively redraw classification rules to discourage unconventional balance sheet strategies.
Strategy’s heavy exposure to Bitcoin has drawn scrutiny, particularly due to its use of leverage alongside a volatile asset.
Critics argue that risk alone does not transform an operating company into an investment fund.