Japan Cracks Down on Crypto Treasury Stocks — Is the DAT Boom About to Collapse?

The Japan Exchange Group (JPX), operator of the Tokyo Stock Exchange, is evaluating tighter regulations for Digital Asset Treasury (DAT) companies due to significant investor losses and extreme stock swings, exemplified by Metaplanet's 75% drop from June highs. Potential new rules include stricter merger regulations to deter backdoor listings and mandatory audits, mirroring regulatory tightening seen in Hong Kong, Australia, and India. This move is prompted by persistent Bitcoin volatility and concerns over governance and risk management in companies holding large crypto reserves. Metaplanet, despite recent losses, secured a large loan using its substantial Bitcoin holdings as collateral, indicating management confidence. Across the sector, volatility, partly driven by PIPE financing lock-up expirations, has caused steep losses for many DAT firms. The regional crackdown aims to protect market stability, as global DAT firms collectively hold over $100 billion in crypto assets, posing potential systemic risks.

(Source：BeInCrypto)