Saylor’s Strategy Faces Possible Nasdaq 100 Exit Amid Crypto Market Meltdown

Michael Saylor’s Strategy is at risk of being removed from several major equity indices, including the prestigious Nasdaq 100, as the ongoing crypto market crash intensifies. The company’s heavy exposure to Bitcoin has triggered closer scrutiny from benchmark providers who are reassessing whether Strategy still fits the criteria for traditional equity indices.

Bloomberg reports that both MSCI and Nasdaq are evaluating the firm’s eligibility, with MSCI actively consulting investors on whether companies that hold more than half of their assets in digital assets should remain in major indices. Some institutions argue that such firms resemble investment vehicles rather than operational companies, raising questions about whether Strategy should continue to be included in broad-market benchmarks. A final determination is expected by January 15.

If removed, Strategy could face an estimated $2.8 billion outflow from funds tracking the MSCI index alone. The combined impact from multiple providers could reach billions more. Currently, passive funds tied to the stock represent nearly $9 billion in market exposure. Analysts at JPMorgan warn that exclusion from top indices could reduce the company’s liquidity, weaken investor sentiment, and limit its access to capital—factors that could further pressure the stock.

The situation comes just months after optimism that Strategy might qualify for inclusion in the S&P 500, as its market cap and liquidity met key thresholds. However, the sharp downturn in the crypto market has drastically altered that trajectory.

Strategy’s stock has plunged over 60% since hitting record highs last November, erasing the valuation premium that once made it a market favorite. The decline has also dragged down its newer financing instruments, including perpetual preferred shares and a recent euro-denominated offering that now trades below its discounted issue price.

With Bitcoin down more than 32% from its October peak and the crypto market shedding over $1 trillion, the company’s mNAV has dropped significantly, signaling that investors are no longer assigning the lofty premium seen in the past.

Despite the mounting pressure, Saylor maintains that Strategy is designed to withstand extreme volatility, emphasizing that the company can survive even an 80–90% Bitcoin drawdown without facing existential risk.