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Source: Bloomberg; Compiled by: Bitcoin Vision
The three major stock exchanges in the Asia-Pacific region are cracking down on cryptocurrency hoarding companies known as DATs masquerading as listed companies.
According to people familiar with the matter,The Hong Kong exchange has in recent months questioned at least five companies seeking to make digital asset treasury (DAT) strategies a core part of their business, citing rules prohibiting large holdings of liquid assets.The sources spoke on condition of anonymity because the application is confidential.To date, none of these companies have received approval.So-called DAT has faced similar opposition in India and Australia.
Headwinds come from cryptocurrencies and listed vehicles focused on accumulating cryptocurrencies, which are under increasing pressure, putting the digital asset rally that has prevailed through much of 2025 at risk.
Bitcoin hit an all-time high of $126,251 on October 6 and is up 18% so far this year, thanks in large part to the large number of companies dedicated to hoarding Bitcoin.The model pioneered by Michael Saylor’s $70 billion Bitcoin giant Strategy has spawned hundreds of imitators around the world.The valuations of these companies are mostly higher than the value of their cryptocurrency holdings, underscoring strong investor demand.
DAT’s buying volume has slowed recently and its share price has fallen, coinciding with a broader sell-off in the cryptocurrency market.According to a recent report from Singapore-based 10X Research, retail investors lost approximately $17 billion on DAT trades.
In the Asia-Pacific market, exchange operator reservations may put a damper on the plans of cryptocurrency hoarders.
“Listing regulations directly affect the speed and transparency of digital asset treasury models,” said Rick Maeda, a Tokyo-based cryptocurrency analyst at Presto Research. He added that “predictable and loose” rules can attract capital and increase investor confidence, while a more restrictive environment can hinder the speed of DAT execution.
cash company
According to Hong Kong Exchange regulations, if a listed company’s assets consist mainly of cash or short-term investments, it will be regarded as a “cash company” and its shares may be suspended.The move is aimed at stopping shell companies from exploiting their listing status in exchange for money.
Simon Hawkins, a partner at law firm Latham & Watkins, said that for would-be cryptocurrency accumulators, getting approval depends on whether they can “demonstrate that the acquisition of crypto assets is an essential part of their operating business.”
Hong Kong currently prohibits listed companies from converting into pure cryptocurrency hoarders, people familiar with the matter said.
A spokesman for the Hong Kong Exchange declined to comment on the specific companies it questioned, but saidIts framework “ensures that the businesses and operations of all applicants seeking to list, as well as those already listed, are viable, sustainable and substantive”.
After similar incidents occurred,Bombay Stock Exchange (BSE)Jetking Infotrain’s application for a priority placement listing was rejected last month.The company has said it will invest some of its proceeds in cryptocurrencies.A filing showed the company is appealing the decision.Neither the Bombay Stock Exchange nor Jetking responded to requests for comment.
In Australia,Australian Securities Exchange (ASX)Public companies are prohibited from holding 50% or more of their balance sheet in cash or cash-like assets.Steve Orenstein, CEO of Locate Technologies, said the provision makes adopting a cryptocurrency treasury model “essentially impossible.”The software company-turned-bitcoin buyer is currently moving its listing from Australia to New Zealand, with the New Zealand Stock Exchange (NZX) willing to host DAT, according to a spokesperson.
An ASX spokesperson said that for ASX-listed companies focused on investing in Bitcoin or Ethereum, “we encourage them to consider structuring their products as exchange-traded funds (ETFs)”.Otherwise, they are “unlikely to be deemed suitable for listing on the official list”.
They said ASX does not prohibit crypto treasury strategies, while warning that conflicts with listing rules must be handled carefully.
Hoarders in Japan
Japan is a notable exception in the Asia-Pacific region.There, it’s common for listed companies to have large amounts of cash, and listing rules allow DATs to operate relatively freely.
“Once a company goes public, if it makes appropriate disclosures, such as disclosing that it is buying Bitcoin, it is difficult to immediately conclude that such behavior is unacceptable,” Japan Exchange Group CEO Hiromi Yamaji said at a Sept. 26 press conference.
According to BitcoinTreasuries.net, Japan has 14 listed Bitcoin buyers, the most in Asia.These include hotel operator Metaplanet, which was an early adopter of the money management model and currently holds $3.3 billion worth of Bitcoin.The company’s shares have soared since the transition began in early 2024, reaching a high of 1,930 yen in mid-June.Shares have since fallen more than 70%.
Japan has launched some more bizarre Bitcoin purchase plans: Tokyo-listed nail salon operator Convano announced in August that it planned to raise approximately 434 billion yen (approximately $2.17 billion) to purchase 21,000 Bitcoins.At the time, its entire company was worth a fraction of that amount.
Yet even for Japan’s hoarders, there are signs of friction.
MSCI, one of the world’s largest index providers, recently proposed excluding large DATs from its global indexes after Metaplanet’s $1.4 billion sale of international stocks in September triggered an investigation.Metaplanet, which joined the MSCI Japan Small Cap Index in February and said it would use most of the proceeds to buy Bitcoin, has since purchased an additional 10,687 coins.Metaplanet has not yet responded to a request for comment.
The company said in a statement that DAT “may exhibit similar characteristics to investment funds” and therefore is not eligible for inclusion in the MSCI index.MSCI has recommended banning companies whose cryptocurrency holdings account for 50% or more of their total assets.
Japanese equity analyst Travis Lundy wrote in a note to Smartkarma that being excluded means DAT no longer enjoys passive inflows from index-tracking funds.”This could kill the argument for a premium to book value,” he added.
