Strive Challenges MSCI Proposal, Pushing for Clarification on Crypto Treasuries

Strive, a prominent Bitcoin treasury, has pushed back against MSCI's proposal to exclude crypto treasuries from its global index. The firm sees this move as a 'material improvement' over an earlier framework that directly targeted crypto treasuries for exclusion.

In its feedback on the proposal, Strive emphasized that it fits the profile of an 'operating company.' It points out that Strategy's digital credit products tied to BTC reserves use balance sheet assets as inputs and produce differentiated financial claims with payment and risk characteristics. This process is comparable to what banks and insurers do.

Strive also notes that its strategy resembles a corporate activity, where the primary product is not Bitcoin itself but rather differentiated forms of Bitcoin-backed exposure tailored to varying investor preferences for risk, duration, leverage, yield, and liquidity.

The firm has called on MSCI to define 'operating assets' and provide a 'future qualification path' for companies to make necessary adjustments. Strive holds over $2B worth of BTC as reserve, similar to Strategy's model.