Michael Saylor defends Strategy as it risks removal from a key U.S. stock index

Strategy, the largest corporate Bitcoin holder, faces growing pressure because a sharp drop in Bitcoin hits its balance sheet and raises the risk of forced selling by index funds.

Responding on X, Saylor said MicroStrategy is “an operating company, not a fund,” and doubled down on its Bitcoin-focused treasury plan. “We’re a publicly traded operating company with a $500 million software business and a unique treasury strategy that uses Bitcoin as productive capital,” Saylor wrote.

His comments followed a warning from JPMorgan analysts, who estimated Strategy could face about $2.8 billion in automatic selling if U.S. index provider MSCI removes the stock from major indexes, and up to $8.8 billion if other index providers do the same.

The stock is currently in the Nasdaq 100, MSCI USA, and MSCI World, with almost $9 billion of its roughly $59 billion market value held by index-tracking funds. Being kicked out of those indexes could force those funds to sell, putting extra pressure on the share price at a time when Bitcoin is already falling.

Saylor countered by pointing to Strategy’s recent fund-raising. He noted that the company has sold five types of Bitcoin-backed notes on the public market — $STRK, $STRF, $STRD, $STRC, and $STRE – with a total face value of more than $25 billion. He also highlighted Stretch ($STRC), a Bitcoin-backed product that aims to pay investors a variable monthly yield in U.S. dollars, targeting both institutions and everyday investors.

MSCI is reviewing whether companies with large digital-asset holdings should remain in traditional equity benchmarks. Strategy’s presence in major indexes has given equity investors indirect exposure to Bitcoin, and any change in classification could affect fund flows.

However, Saylor said that index labels do not define the company, adding that Strategy’s plan is long-term, its belief in Bitcoin has not changed, and its goal is still to build what he calls the world’s first digital monetary institution based on “sound money” and new financial technology.

As we covered previously, cryptocurrencies sold off as markets priced in a more hawkish Federal Reserve after delayed September U.S. jobs data. The crypto fear and greed index is in “extreme fear,” total market value dropped over 6% in the last 24 hours, and U.S. spot Bitcoin ETFs saw $903.11 million in net outflows on Nov. 20, 2025, the second-largest since launch.

Crypto company stocks have seen large declines over the last month. MSTR is down 42.3% over that period and is currently trading at $174, according to Google Finance.