Source: Bloomberg; Compiled by Golden Finance. Three major Asia-Pacific stock exchanges are cracking down on cryptocurrency accumulators, or DATs, disguised as listed companies. The Hong Kong Stock Exchange has questioned at least five companies seeking to use digital asset treasury (DAT) strategies as core businesses in recent months, citing regulations prohibiting them from holding large amounts of liquid assets, according to people familiar with the matter. The sources asked not to be identified because the applications are confidential. None of the companies have been approved so far. So-called DATs have faced similar opposition in India and Australia. The headwinds come as cryptocurrencies and listed vehicles focused on accumulating cryptocurrencies are under increasing pressure, putting at risk the rally in digital assets that has prevailed through much of 2025. On October 6th, Bitcoin hit a record high of $126,251, up 18% year-to-date, largely driven by a surge in companies dedicated to hoarding Bitcoin. The model pioneered by Michael Saylor's $70 billion Bitcoin giant, Strategy, has spawned hundreds of imitators worldwide. Most of these companies boast valuations exceeding the value of their cryptocurrency holdings, highlighting strong investor demand. Recently, DAT purchases have slowed, and their share prices have fallen, coinciding with a broader sell-off in the cryptocurrency market. According to a recent report by Singapore-based 10X Research, retail investors have lost approximately $17 billion in DAT trading. In the Asia-Pacific market, the cautious stance of exchange operators could completely thwart the plans of cryptocurrency hoarders. "Listing regulations directly impact 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 relaxed" rules can attract capital and bolster investor confidence, while a more restrictive environment can hinder the speed of DAT implementation. Under Hong Kong Stock Exchange rules, if a listed company's assets consist primarily of cash or short-term investments, it will be considered a "cash company" and its shares may be suspended. This is intended to prevent shell companies from leveraging their listing status to generate cash. Simon Hawkins, a partner at the law firm Latham & Watkins, said that for would-be cryptocurrency accumulators, obtaining approval depends on whether they can "demonstrate that acquiring crypto assets is a significant component of their business operations." Hong Kong currently prohibits listed companies from transforming into pure cryptocurrency accumulators, according to people familiar with the matter. A spokesperson for the Hong Kong Stock Exchange declined to comment on the specific companies it has questioned, but said its framework "ensures that the businesses and operations of all applicants seeking to list, as well as those already listed, are viable, sustainable and have substance." Following a similar incident, the Bombay Stock Exchange (BSE) last month rejected Jetking Infotrain's application for a preferential allotment listing. The company had said it would invest some of the proceeds in cryptocurrencies. A filing shows the company is appealing the decision. Neither the Bombay Stock Exchange nor Jetking responded to requests for comment. In Australia, the Australian Securities Exchange (ASX) prohibits listed companies from holding 50% or more of their balance sheet in cash or cash-like assets. Steve Orenstein, CEO of Locate Technologies, said this provision makes adopting a cryptocurrency treasury model "virtually impossible." The software company-turned-bitcoin buyer is in the process of shifting its listing from Australia to New Zealand, where the New Zealand Stock Exchange (NZX) is willing to host the 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 stated that the ASX does not prohibit crypto treasury strategies, but warned that conflicts with listing rules must be carefully managed. Japan's Hoarders is a notable exception in the Asia-Pacific region. It's common for publicly listed companies there to hold large amounts of cash, and listing rules allow DATs a relatively free rein. Hiromi Yamaji, CEO of Japan Exchange Group, said at a press conference on September 26, "Once a company goes public, if it makes appropriate disclosures, such as disclosing that it's purchasing Bitcoin, it's difficult to immediately conclude that such behavior is unacceptable." According to BitcoinTreasuries.net, Japan has 14 listed Bitcoin buyers, the most in Asia. These include hotel operator Metaplanet, an early adopter of the treasury management model that currently holds $3.3 billion worth of Bitcoin. Since the company began its transition in early 2024, its stock price has soared, reaching a high of 1,930 yen in mid-June. Since then, the stock has fallen by over 70%. Japan has already seen some of the more exotic Bitcoin purchase plans: Convano, a Tokyo-listed nail salon operator, announced in August plans to raise approximately 434 billion yen (about $2.17 billion) to purchase 21,000 Bitcoins. At the time, its entire company's market capitalization was a fraction of that amount. Yet, even for Japanese 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 sale of $1.4 billion in international shares in September sparked an investigation. Metaplanet joined the MSCI Japan Small Cap Index in February and said it would use most of the proceeds to buy Bitcoin, having since purchased an additional 10,687 tokens. Metaplanet did not respond to a request for comment. In a statement, the company said DATs "may exhibit characteristics similar to investment funds" and therefore are ineligible for inclusion in MSCI indices. MSCI has proposed banning companies whose cryptocurrency holdings account for 50% or more of their total assets.
The exclusion means DATs will no longer enjoy the passive inflows of index-tracking funds, Japanese equity analyst Travis Lundy wrote in a report for Smartkarma. “This could erase the premium-to-book value argument,” he added.
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