Could Strategy Inc.’s Removal From Major Indices Trigger Billions in Market Losses?

Strategy Inc. faces the potential loss of its market listings from indices like MSCI USA and Nasdaq 100 due to high exposure to digital assets. This removal could lead to billions of dollars in passive outflows, impacting funding pressures and company valuation. The company’s recent sharp decline in valuation, down over 60% from its peak, stems from the disappearance of investor confidence in its capital strategy, as a premium once attached to Bitcoin holdings has evaporated.