Jeff Dorman analyzes the future of Digital Asset Treasury (DAT) companies, suggesting significant changes are necessary by 2026. He points out that while Wall Street has begun to take a closer look at certain tokens, like Hyperliquid’s $HYPE, the traditional banking system often neglects tokens that don’t promise profits. DATs have emerged as a way to combine crypto assets with equity structures, attracting more institutional investment. Dorman argues that many tokens are undervalued because they lack a robust buyer base beyond retail investors. Wrapping valuable tokens in equity shells could help, but this doesn’t inherently increase their value. Dorman highlights a fundamental flaw in the DAT model: most cannot control the underlying assets they buy, which undermines their business strategy. He emphasizes that effective DATs should adopt a private equity mindset, focusing on improving the assets they acquire, much like a private equity firm enhances its portfolio before selling it. Companies like Grayscale are cited as examples of success, with strong cash flow allowing them to purchase crypto assets without needing to rely on capital markets. Dorman believes the future of DATs hinges on this model, which balances asset acquisition with business fundamentals. If DATs can’t control or enhance their underlying assets, they risk failure in a competitive market.