JPMorgan has issued a report highlighting a potential $2.8 billion risk for MicroStrategy if the company is removed from major indices like MSCI and the Nasdaq 100 due to its significant Bitcoin holdings. This warning has sparked renewed scrutiny of stocks and lending protocols with high crypto exposure.
MicroStrategy's Michael Saylor countered JPMorgan's estimate, arguing that the market has already accounted for such risks and that index rules vary. The report has led traders to adjust their risk exposure and increase hedging in Bitcoin derivatives, with analysts noting potential broader impacts on Nasdaq-listed crypto proxy stocks and Bitcoin-backed lending protocols as institutions reassess risk models.
JPMorgan Warns of $2.8 Billion Risk for MicroStrategy Due to Bitcoin Holdings
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