Strategy CEO Phong Le calls MSCI exclusion of MSTR immaterial on CNBC
Strategy CEO Phong Le called MSCI's decision to remove MSTR from its indexes immaterial, with index-linked funds holding only about 3% of shares.
Strategy CEO Phong Le addressed MSCI's move to remove MSTR from its indexes on CNBC, declaring the impact immaterial. The index provider plans to drop Strategy from the MSCI USA Index and global benchmarks after November 30, 2026, citing eligibility rules targeting non-operating companies.
Le's core argument centered on scale, noting that MSCI-linked funds account for only about 3% of Strategy's outstanding shares. He framed the decision as discriminatory toward digital assets, comparing it to penalizing traditional resource companies over their business operations.
Bitcoin holdings at stake
Strategy, the largest publicly listed corporate Bitcoin holder, possesses 850,364 BTC as of early November 2026, acquired at an average price of $75,456 per Bitcoin. The disagreement hinges on whether digital asset holdings should be treated as operating assets.
The bigger risk is the domino scenario. The $2.8 billion outflow estimate Le described only applies if other index providers adopt similar positions.
Market implications
While Le maintained that Strategy's liquidity will remain robust in the near term, the potential $2.8 billion in passive outflows represents a significant risk if other index providers follow MSCI's lead. The company's treasury model, established in 2020, faces unprecedented scrutiny from traditional financial benchmarks.
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