MicroStrategy (MSTR) will continue to be part of the Nasdaq 100 Index following the latest annual rebalancing, a decision that underscores its ongoing evolution into what many analysts consider a “de facto Bitcoin investment vehicle.” This updated index composition will take effect on December 22, 2025, during a period of growing scrutiny from both institutional investors and index providers regarding the classification of companies holding substantial digital asset positions.
Having secured its place in the Nasdaq 100 in December 2024, MicroStrategy faced speculation that its Bitcoin-focused strategy could lead to disqualification during this year”s rebalance. However, the company”s significant market capitalization and liquidity allowed it to maintain its threshold, unlike other firms such as Biogen and CDW Corporation, which were removed from the index.
The strategic shift for MicroStrategy began in August 2020 when it pivoted from enterprise analytics software to adopting Bitcoin as its primary corporate treasury asset. Since this transition, the company”s stock performance has closely mirrored Bitcoin”s price movements, raising questions about whether MicroStrategy still fits the traditional definition of a technology operator or has become more akin to a Bitcoin-centric financial entity. Despite these considerations, the Nasdaq has permitted the company to retain its classification for the time being.
While MicroStrategy”s status within the Nasdaq 100 appears secure in the short term, the more pressing concern lies with MSCI, a prominent index provider renowned for its influence. In September 2025, MSCI initiated a consultation to evaluate whether “Digital Asset Treasury Companies”—firms that primarily raise capital to acquire Bitcoin or other digital assets—should remain included in broad equity indices. This review directly impacts companies like MicroStrategy, which has frequently issued convertible notes and other financial instruments to bolster its Bitcoin holdings. A final ruling is anticipated on January 15, 2026.
In response, MicroStrategy executives, including Executive Chairman Michael Saylor and CEO Phong Le, have submitted a letter to the MSCI Equity Index Committee, advocating for their continued eligibility. Their argument focuses on the assertion that the company issues digital credit instruments and utilizes the proceeds to increase its Bitcoin reserves, positioning their strategy similarly to that of banks and insurance firms that issue debt to support investment portfolios. They emphasize that MicroStrategy continues to operate a software business, which should exclude it from being categorized as an investment fund.
If MSCI decides to remove MicroStrategy from its indices, the repercussions could be significant and immediate. Passive funds tracking MSCI benchmarks may be compelled to divest more than $1.5 billion worth of MSTR shares, potentially placing downward pressure on a stock that already exhibits high correlation with Bitcoin”s volatility. This outcome would also carry symbolic weight, potentially establishing a global precedent for how public markets categorize companies with strategies centered on digital assets.
While MicroStrategy”s ongoing inclusion in the Nasdaq 100 offers short-term stability, the overarching issue of how global index providers will treat Bitcoin-focused corporations remains unresolved. With MSCI”s decisive ruling just weeks away, MicroStrategy stands at a pivotal juncture that could significantly alter its investor landscape and long-term position within traditional equity markets.
