Strive Challenges MSCI's 'Operating Asset' Test in Bitcoin Index Review

Strive Asset Management has submitted comments to MSCI's proposed methodology for identifying companies with substantial non-operating assets. The company is seeking clearer criteria for determining what qualifies as an operating asset, particularly in relation to financial assets such as Bitcoin.

Matt Cole, Chairman and CEO of Strive, questioned how the framework would apply to companies that use financial assets in activities like lending, structured finance, and asset management. He argued that MSCI's consultation does not provide enough detail about how the term 'operating asset' would be interpreted or which financial information would determine a company's classification.

Strive wants operating assets defined more clearly and for companies to be able to identify which parts of the methodology caused them to fail the proposed screen. The issue is particularly relevant to Bitcoin treasury companies and financial firms whose balance sheets contain large digital-asset positions alongside businesses such as asset management, lending, and structured products.