Michael Saylor , the billionaire founder and executive chairman of Strategy (Nasdaq: MSTR), the world's largest Bitcoin (BTC) treasury company, has responded to the latest delisting warning from JPMorgan.
As reported earlier , JPMorgan warned that Strategy’s shrinking premium and rising balance-sheet risk could trigger its exclusion from several major equity benchmarks, including the MSCI USA Index.
Created by MSCI (Morgan Stanley Capital International), the MSCI USA Index is one of the largest equity benchmarks in the country, tracking roughly 85% of the U.S. stock market. Being removed from such an index could force billions in passive-investor outflows, as index-linked funds automatically sell stocks no longer included.
Related: JPMorgan warns of MicroStrategy delisting risk from major equity indices
Strategy's turn to Bitcoin
It was in 2020 that Strategy began converting cash reserves into BTC and issuing debt to acquire more. The move turbocharged the company’s market value during Bitcoin’s multi-year uptrend — but that tailwind has sharply weakened.
MSTR is down 40% over the past month and sits 68% below its record high. The company now holds 649,870 BTCat an average purchase price of $74,433. With Bitcoin falling from its $126,000 all-time high to around $82,000 this week, a further 15% decline would push the entire Bitcoin position below water.
The firm’s market-implied net asset value (mNAV) — which compares Strategy’s enterprise value to its Bitcoin per-share value — has meanwhile contracted toward 1x, meaning the stock now trades almost exactly in line with the value of its Bitcoin holdings.
This is significant: when mNAV is well above 1, the company can issue stock at a premium to buy more BTC. When mNAV collapses toward parity, that “accumulation flywheel” breaks, and new issuance risks diluting existing shareholders.
JPMorgan argued this compresses one of Strategy’s key strategic engines: the ability to issue high-priced stock to purchase more BTC without meaningfully diluting existing shareholders.
More News:
-
Popular North American company shuts down Bitcoin mining operations for AI
-
Popular crypto company files for Chapter 15 bankruptcy as Bitcoin crashes
Saylor pushes back
Saylor pushed back on concerns, calling the market’s focus on index classification misplaced.
“Strategy is not a fund, not a trust, and not a holding company. We’re a publicly traded operating company with a $500 million software business and a unique treasury strategy that uses Bitcoin as productive capital."
He noted that the firm’s capital-markets activity extends far beyond passive Bitcoin exposure.
Saylor said the firm completed five public offerings of digital credit securities in 2025 itself, representing over $7.7 billion in notional value:
-
8% Series A Perpetual Strike Preferred Stock (STRK)
-
10% Series A Perpetual Strife Preferred Stock (STRF)
-
10% Series A Perpetual Stride Preferred Stock (STRD)
-
Variable Rate Series A Perpetual Stretch Preferred Stock (STRC)
-
10% Series A Perpetual Stream Preferred Stock (STRE)
He called Stretch ($STRC) a "revolutionary Bitcoin-backed treasury credit instrument" that offers variable monthly USD yield to institutional and retail investors.
The entrepreneur maintained that index classification has no bearing on how Strategy views itself or operates. He characterized the company’s approach as long-term and said its commitment to Bitcoin remains firm.
According to him, the firm’s broader mission continues to center on building what it envisions as the world’s first digital monetary institution, anchored in sound-money principles and financial innovation.
At the time of writing, MSTR was trading at $173.05, down 2% on the day.
Related: Explained: Why is Bitcoin, XRP down today?
This story was originally reported by TheStreet on Nov 21, 2025, where it first appeared in the MARKETS section. Add TheStreet as a Preferred Source by clicking here.
