MicroStrategy's Potential Inclusion in S&P 500 with New Crypto Accounting Standards

IconCrypto News Terminal25 Apr, 2024

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MicroStrategy's Potential Inclusion in S&P 500 with New Crypto Accounting Standards

US investment bank Benchmark believes that MicroStrategy (MSTR), the largest corporate holder of Bitcoin (BTC), could be added to the prestigious S&P 500 index if the Financial Accounting Standards Board's (FASB) new accounting standards for cryptocurrencies are adopted. The FASB mandates companies holding crypto assets to report changes in their value, including gains or losses, in their quarterly earnings. This could significantly boost MicroStrategy's earnings per share, making it eligible for inclusion in the S&P 500 and potentially leading to increased share value. The new standards take effect on January 1, 2025, but early adoption is allowed. Previously on 24 April 2024, Coindesk reported on the potential impact of the FASB's new accounting standards on MicroStrategy's eligibility for the S&P 500.

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