Bitcoin News Today: Bitcoin Backers Target JPMorgan to Halt MSCI's Exclusion Plan

The Bitcoin community and supporters of MicroStrategy (MSTR), the BTC treasury company, have launched a coordinated boycott of JPMorgan Chase, escalating tensions over the bank's role in a potential shift by index provider MSCI to exclude crypto-focused firms from major financial benchmarks. The backlash follows reports that MSCI plans to remove companies with 50% or more of their balance sheets in cryptocurrencies from its indices starting in January 2026. JPMorgan disclosed the proposal in a research note, triggering immediate outrage among Bitcoin advocates and investors who view the move as a threat to market access for crypto treasury firms according to analysts.

The boycott gained momentum after prominent figures in the Bitcoin ecosystem called for action. Real estate investor and Bitcoin proponent Grant Cardone announced he had withdrawn $20 million from JPMorgan Chase and filed a lawsuit over credit card practices, while commentator Max Keiser urged supporters to "crash JPMorgan and buy Strategy and BTC" according to public statements. The proposed MSCI rule change could trigger automatic sell-offs of shares held by passive funds and asset managers tied to the indexes, potentially destabilizing crypto markets and reducing liquidity for companies like MicroStrategy, which entered the Nasdaq 100 in December 2024 according to market analysis.

MicroStrategy founder Michael Saylor has defended the company's structure, emphasizing that it is a "Bitcoin-backed structured finance company" rather than a passive holding entity. "Funds and trusts passively hold assets. Holding companies sit on investments. We create, structure, issue, and operate," Saylor stated in a public response according to official statements. However, JPMorgan analysts estimate that MSCI's exclusion alone could lead to $2.8 billion in outflows from MicroStrategy, with total losses reaching $11.6 billion if other index providers follow suit. The firm's valuation premium-once 2.7 times its net asset value-has since fallen to just 1.1, reflecting waning investor confidence according to financial reports.

The proposed rule change has broader implications for the crypto market. Analysts warn that a forced reduction in crypto holdings by affected companies could exacerbate price declines, particularly as Bitcoin has already fallen over 30% from its October peak. The move also raises questions about the classification of digital asset treasury firms, with MSCI consulting on whether such entities should be treated like investment funds, which are ineligible for index inclusion according to market commentary.

As the deadline for MSCI's decision approaches on January 15, 2026, the debate underscores growing tensions between traditional financial institutions and the crypto ecosystem. While Saylor remains defiant, JPMorgan analysts caution that index exclusion would signal a "negative" outlook for MicroStrategy's capital-raising capabilities and trading liquidity according to financial analysis. The outcome could reshape the financial infrastructure of Bitcoin treasury companies, forcing them to either dilute their crypto exposure or seek alternative funding mechanisms.