According to Deep Tide TechFlow news, on August 28, Dr. Xiao Feng, Chairman and CEO of HashKey Group, stated during a keynote speech at Bitcoin Asia 2025 that DAT (Digital Asset Treasury) may be the best way for crypto assets to transition from on-chain to off-chain.
Dr. Xiao Feng elaborated on the four core advantages of DAT over ETFs:
First, better liquidity. ETF subscriptions and redemptions take a lot of time, and DAT helps investors transfer assets more conveniently and efficiently.
Second, higher price elasticity. DAT has significant market value fluctuations and possesses risk isolation properties, providing institutions with more arbitrage tools.
Third, more reasonable leverage design. DAT companies offer leveraged financing structures, which can bring higher premiums to investors compared to the price increase of cryptocurrencies themselves.
Fourth, DAT comes with a built-in downside protection mechanism. When the share price falls below the net asset value of the company, investors gain the opportunity to buy Bitcoin or ETFs at a discount. Such situations where the share price is below the net asset value will quickly be smoothed out by the market.
