MSCI Drops Strategy From Its Indexes as Bitcoin Holds Near $74,000

MSCI will remove Strategy, the largest corporate holder of bitcoin, from its indexes as of the November 30 close. Bitcoin Magazine reported that a new screen classified Strategy as a "non-operating company," along with Metaplanet, Yellow Cake, Skel and Upexi. Removal from the MSCI USA Index also takes Strategy out of the MSCI World and All Country World indexes. Strategy estimated that funds tracking the affected indexes hold about 13 million shares, or 3.1% of its basic shares outstanding, investingLive reported. JPMorgan has estimated about $2.8 billion of outflows, and up to $8.8 billion more if other index providers follow, according to Yahoo Finance. The decision does not delist the stock or require Strategy to sell bitcoin. Strategy had said in its November 2 quarterly filing that it expected the removal.

Bitcoin itself barely moved. CoinDesk described the market as listless and stuck in a familiar range, while perpetual futures on Nvidia shares fell 7% on the Hyperliquid exchange after the reports about Jensen Huang. Coinglass put bitcoin near $74,450 early Thursday in Asia, and Coinbase data show it about 7% below its level of a week earlier. Coinglass recorded $95 million of net outflows from US spot bitcoin exchange-traded funds on November 10.

The precious metals were more volatile. Kitco's New York quotes put gold near $4,056 an ounce and silver near $52.70 on Wednesday, and Kitco noted that both fell sharply in late US trading. Earlier in the day, FXStreet had silver at $52.92, up 2.7%.