Bitwise CIO: It is incorrect to assess DAT Company using mNAV, and a divergence in trends will emerge in the future

Bitwise Chief Investment Officer Matt Hougan stated that evaluating DAT companies using mNAV is incorrect because this valuation method does not take into account the lifecycle of publicly listed companies. "Imagine you have a Bitcoin DAT that announces it will close this afternoon and distribute Bitcoin to investors. Its trading price would be exactly equal to the value of its Bitcoin (mNAV of 1.0)."

Matt Hougan's analysis indicates that there are three main reasons for the discount in DAT trading prices: lack of liquidity, high fees, and significant risks. The reason for DAT premiums is only one (limited to the U.S.): whether it increases the cryptocurrency value per share. Most reasons for DATs trading at a discount are certain, while most reasons they might trade at a premium are uncertain. Therefore, most DATs will trade at a discount, with only a few exceptions trading at a premium.

Over the past six months, the price fluctuations of DATs have been relatively consistent. Looking ahead, their price differences will become more pronounced. A few DATs perform well and trade at a premium, while many DATs perform poorly and trade at a discount.