Is MicroStrategy going to be removed from the index? Wall Street's cut is actually favourable information for BTC.

In 55 days, MicroStrategy faces an avalanche - MSCI rules require that if the proportion of encryption assets exceeds 50%, it cannot be mixed in mainstream indices, and MSCI will strictly exclude it. According to this logic, MSTR's encryption proportion has already soared to 77%, which is almost like a Bitcoin fund running the market under the guise of a tech company.

What does this mean? A forced sell-off wave of $9 billion is coming. All pension funds and passive index funds have to obediently sell; it is either market panic or a mechanical “eviction order.”

But this may actually be beneficial for Bitcoin

The interesting thing here is that what is being sold off is MSTR stock, not Bitcoin itself. This move by Wall Street is actually cleaning up the garbage: driving away those “core business + Bitcoin arbitrage” companies, allowing Bitcoin to face the market as an independent asset class.

Tesla and Block have long learned their lesson; their Bitcoin holdings have consistently remained below 50%, allowing them to thrive. The tragedy of MSTR lies in its greed — over five years, relying on issuing new shares to finance → buy BTC → stock price rises → refinancing in a cycle, turning itself into a “Bitcoin printing machine.” At its peak, the stock price was at a premium of 2.5 times, but now it has fallen to 1.11 times, and the market has long seen through it.

The flow of funds is quietly changing

In the past, institutions looking to invest indirectly in BTC might have chosen MSTR, but what about now? BlackRock's Bitcoin ETF and Grayscale's ETF have become more compliant options. This is not just a transfer of funds, but a play upgrade — Bitcoin no longer needs to be packaged by public companies and can directly enter traditional capital pools through standardized tools like ETFs.

The story of gold comes to mind: after it was banned from circulation in the 1970s, it instead gave rise to gold ETFs, which ultimately became a standard “ballast” for institutions. BTC is following this path.

Signals for Investors

If you hold MSTR: Be cautious of the stock price fluctuations on January 15. If you hold BTC or want to invest in BTC: this is actually a positive sign - Wall Street is straightforwardly saying “Bitcoin is de-bubbling” and “asset legitimization”. The rules are clearer, the gameplay is simplified, and you can get in by buying an ETF, without having to bet on high-risk companies.

After 55 days, at the moment MicroStrategy was kicked out of the index, what we saw was not the decline of a company, but Bitcoin finally shedding the hypocritical shell of a corporate strategic tool and standing on the stage as an independent, pure asset. This might be the appearance that Satoshi Nakamoto most wanted to see.