Key Takeaways
- The Hong Kong Stock Exchange has pushed back against firms pivoting to digital asset treasury (DAT) strategies.
- HKEX rules prevent listed companies from hoarding assets they don’t require for operational purposes.
- Securities and Futures Commission (SFC) Chairman Wong Tin-yau has flagged risks to investors.
As the digital asset treasury (DAT) trend spreads across the globe, authorities in Hong Kong have hit the pause button, with the Hong Kong Stock Exchange (HKEX) pushing back against several bids to transform listed firms into Microstrategy-style crypto hoarders.
In recent comments, Securities and Futures Commission (SFC) Chairman Wong Tin-yau highlighted concerns around the share price premium which means many DAT companies are valued higher than their underlying holdings warrant.
HKEX Challenges Crypto Treasury Plans
In recent months, the operator of Hong Kong’s stock exchange has challenged the plans of at least five firms pursuing DAT strategies, sources cited by Bloomberg disclosed recently.
While HKEX doesn’t specifically restrict companies buying or owning crypto, pure-play crypto treasury strategies may run foul Rule 13.24, which states that businesses must have “a sufficient level of operations” to justify their listing.
In a note on its interpretation of this rule in 2019, HKEX stated: “An issuer that holds significant assets but does not carry out a sufficient level of operations is not compliant.”
The exchange operator acknowledged that the determination of “sufficient” is inherently qualitative. But at present, there is no guidance on the line between tactical treasury diversification and a full-throated DAT strategy.
Technically, Michael Saylor’s Strategy still makes software and Metaplanet still operates at least one hotel. Yet these operations have been totally eclipsed by the firms’ Bitcoin purchases.
Moreover, a new generation of DAT companies have been much more brazen in abandoning their original business premises.
So far, Hong Kong firms like Boyaa International have been able to accumulate a fair amount of BTC without any issue. But for now, pure-play DAT strategies are off the table.
Regulator Flags DAT Premium Concerns
In comments reported by local media, Wong Tin-yau acknowledged that some listed companies were “tempting to engage” in DAT activities.
However, he insisted that any such operations would require a greenlight from HKEX and the SFC.
From an investor protection standpoint, Wong Tin-yau expressed skepticism about DATs “significant premium.”
This premium is commonly expressed by the ratio of a company’s market capitalization to the value of its holdings (mNAV). For example, Strategy’s mNAV currently sits around 1.33, indicating a 33% premium on the value of its Bitcoin.
With some notable exeptions, DAT companies almost always trade above their net asset value.
Urging investor caution, Wong Tin-yau warned that with formalized DAT regulation, this premium could disappear “within a day.”
Outside of Hong Kong, crypto treasury stocks are already witnessing declines in their mNAV, often to the disadvantage of investors.
Consider the example of MSTR. In 2025, Strategy’s dwindling mNAV has wiped out any increase in the value of its Bitcoin. As of Oct. 30, the firm’s share price had declined by around 3.6% since the start of the year, even though BTC made gains during the period.
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James Morales is CCN’s blockchain and crypto policy reporter. He has been working in the news media since 2020, writing about topics such as payments, banking and financial technology. These days, he likes to explore the latest blockchain innovations and the evolving landscape of global crypto regulation.
With an educational background in social anthropology and media studies, James uses his platform as a journalist to explore how new technologies work, why they matter and how they might shape our future.
