Will DATs Become the Engine of the Next Bull Market? A Conversation on PANews
As Bitcoin spot ETFs solidify their role as the official entry point for traditional capital, a new innovation is quietly reshaping U.S. stock markets: Digital Asset Treasury companies (DATs). Unlike ETFs that passively mirror Bitcoin or Ethereum, DATs transform listed companies into active engines of crypto capital formation.
Recently, on the PANews channel, five leading voices in the DAT ecosystem, including Spencer Yang, Managing Partner at BlockSpaceForce, joined a deep-dive discussion to unpack how DATs work, the challenges they face, and their potential to redefine the next market cycle.
Beyond ETF-Like Fees: Why DATs Are Different
Spencer highlighted that DATs typically sign agreements with asset managers that mirror ETF-style fees — about 1% under $1 billion AUM, and 0.5% above $1.5 billion. But the resemblance stops there.
Because DATs are actively managed, they create differentiated value through strategic flexibility. Companies can issue shares at premiums, repurchase stock, hedge positions, or even participate in staking and real-world asset integrations. Their performance is not only tied to underlying crypto prices, but also to corporate execution.
Two factors especially shape a DAT’s competitiveness:
Team & brand — Execution quality and credibility of the operating team directly affect market perception and performance.
Structure & efficiency — Companies with S-3 shelf registration can issue capital faster, while post-listing “buy-and-hold” shells often move too slowly to seize opportunities.
Regulation as a Market Stress Test
As capital markets tighten, DATs are facing what Spencer calls a “pressure test”: fundraising difficulties and regulatory headwinds.
Investment banks and law firms have grown cautious with “in-kind contribution” models (where tokens are used for share issuance), pushing most issuances toward cash-based subscriptions. Spencer views this not as a setback, but as a catalyst for standardization.
For non-Bitcoin DATs, the real challenge is still ahead. Many have not weathered a full bull-bear cycle. Here, the durability of the team — its ability to navigate liquidity crunches and regulatory pivots — will determine survival. Some companies are already responding by rolling out equity incentive plans to bolster market confidence.
The Case for Non-Bitcoin DATs
While most investor attention gravitates toward Bitcoin DATs like MicroStrategy, Spencer emphasized that non-BTC DATs play an important role in a “hundred-flowers-blooming” ecosystem.
They diversify the market and offer institutions new ways to access crypto. For example, regulated funds in Singapore cannot directly purchase crypto, but they can invest in DAT equities that hold digital assets. This indirect channel broadens institutional participation while keeping compliance intact.
When assessing such opportunities, Spencer pointed to three critical factors:
Underlying asset quality
Financial metrics like mNAV
Team intent and operational style
These determine whether a DAT can move beyond hype and deliver long-term value.
From Pressure Test to Blueprint
DATs are not just ETFs in disguise. They are corporate structures that transform crypto exposure into an active financial strategy. For Spencer, the current challenges, fundraising hurdles, regulatory scrutiny, market volatility, are less signs of failure than signals of maturation.
If teams can execute with discipline, DATs may well become the blueprint for how capital markets absorb crypto, but through active, engineered vehicles that combine corporate finance with digital assets.
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