Analyst Slams S&P Global for ‘Misguided’ Low Rating on Bitcoin Firm Strategy

Crypto analyst Adam Livingston has strongly criticized S&P Global Ratings for giving Strategy Inc. a low ‘B-’ credit rating, saying it shows that traditional finance doesn’t understand how Bitcoin-based companies work.

According to Livingston, the company was incorrectly labeled as high-risk, arguing that S&P overlooked its strong financials and treated Bitcoin as a liability rather than an asset.

The issue started after S&P reported that most of Strategy Inc.’s assets are in Bitcoin and that the company plans to increase its Bitcoin holding in line with Michael Saylor’s long-term goal of owning `$1 trillion worth of Bitcoin. As a result, the agency said it will continue to view the company’s capital as weak.

Livingston said the statement clearly shows how traditional finance undervalues assets that the government doesn’t control. He claimed that if Strategy held U.S. treasuries, S&P would view them as high-quality capital, but since the company holds Bitcoin, the agency instead labels it as negative equity.

Livingston Says S&P Rating Exposes Flaws in Traditional Finance

Livingston pointed out that the S&P rating reveals more about the weaknesses of the traditional financial system and less about Strategy’s actual risk. His view echoes Michael Saylor’s belief that Bitcoin will continue to outperform the S&P 500.

The crypto analyst noted that the event marks a key moment where digital assets challenge traditional systems of credit and capital valuation, highlighting how S&P’s outdated risk standards overlook the stability and transparency of blockchain-based assets. 

After the rating announcement, Strategy Inc.’s stock (MSTR) rose 2.27% to about $295.63, according to TradingView data, reflecting investor confidence despite the ‘B-’ rating.

Additionally, Mason Foard observed that Strategy is now the largest publicly traded company with a B-  rating, ranking below airlines, cruise lines, and automakers despite having lower debt and stronger liquidity.