Wall Street giants including BlackRock dump MicroStrategy shares

Group 1 - The world's largest corporate holder of Bitcoin, Strategy (formerly MicroStrategy), is facing significant challenges due to the ongoing crypto market crash, impacting both institutional and retail investors [1] - Short-seller Jim Chanos has closed his short positions on MSTR, citing a decline in the multiple-to-net-asset-value (mNAV) from 2.5x in December 2024 to 1.16x currently, with expectations that it may eventually reach 1.0x [2][3] - JPMorgan has warned that leading equity indices, including the MSCI USA Index, may delist Strategy due to its digital asset treasury model, which could affect its eligibility for traditional stock indexes [4] Group 2 - Michael Saylor, co-founder and executive chairman of MicroStrategy, maintains that index classification does not affect the company's operations or self-perception, despite Wall Street's negative view [5] - Institutional trust in Strategy as a Bitcoin proxy has been declining, with major asset managers trimming their holdings by $5.38 billion in Q3 2025 [6][7] - Institutional holdings in MSTR decreased from $36.32 billion at the end of Q2 to $30.94 billion at the close of Q3, representing a drop of approximately 15% [7]