Tokyo Exchange Operator Eyes Crackdown on Bitcoin-Holding Firms After DAT Rout
The Tokyo exchange operator is considering stricter regulations for companies holding significant amounts of Bitcoin, following a recent downturn in the value of Digital Asset Treasuries (DATs). This potential crackdown reflects growing concerns about listed firms primarily focused on accumulating and holding cryptocurrencies rather than engaging in traditional business operations.
The move comes amid increased scrutiny of DATs in Asia, with exchanges in Hong Kong and Australia also tightening listing rules and supervision to prevent companies from becoming de facto crypto investment vehicles. Regulators are concerned that these firms contribute to market volatility and pose risks to retail investors.
Japan has been a notable exception in the Asia-Pacific region, with relatively loose listing rules for DAT companies. Hiromi Yamaji, CEO of Japan Exchange Group, stated in September that it would be difficult to immediately deem a listed company's Bitcoin purchases unacceptable, provided they make proper disclosures. As of late October 2025, Japan had the highest number of listed Bitcoin-holding companies in Asia, including hotel operator Metaplanet Inc., which holds approximately $3.3 billion in Bitcoin.
However, even in Japan, signs of friction have emerged. The share prices of DATs have fallen sharply, mirroring a broader crypto market correction that has reportedly resulted in over $17 billion in losses for retail investors. Furthermore, MSCI, a major index provider, has proposed excluding large DAT companies from its global indices. This proposal followed an investigation into Metaplanet's $1.4 billion international equity offering in September.
The potential exclusion from indices could significantly impact DAT valuations, as it would reduce passive capital inflows from index-tracking funds. According to stock analyst Travis Lundy, this could undermine the price-to-book premium that supports their high valuations.
The Tokyo exchange operator's move towards stricter regulations signals a potential shift in Japan's approach to crypto-holding companies. While the specific measures are yet to be announced, they could include stricter disclosure requirements, limitations on the amount of cryptocurrency that listed companies can hold, and enhanced monitoring of DAT activities.
These regulatory changes could have far-reaching implications for the crypto market, potentially dampening enthusiasm for the digital asset treasury model. As exchanges and regulators across Asia increasingly scrutinize DATs, companies may need to reassess their strategies and focus on more traditional business models to maintain their listed status. The long-term effects of these regulatory shifts on the broader cryptocurrency market remain to be seen.
