The Crypto DATs Bubble May Have Already Burst

Thomas “Tom” Lee, Chairman of BitMine, joined Fortune’s Crypto Playbook Podcast to share his views on the rapid rise — and potential collapse — of Digital Assets Treasury (DAT) companies. According to Lee, the excitement around DATs may already be fading, suggesting that the so-called bubble has likely burst.

DATs Are More Than Passive Funds

Lee explained that DATs were designed to provide investors with a new way to gain exposure to crypto assets. He emphasized that these entities “are not just passive vehicles” and that those with strong execution and governance models will continue to attract capital. Companies like Strategy and BitMine, the world’s two largest crypto treasuries, reportedly account for 86% of all DAT trading activity, with billions in daily trading volume.

Market Reality: Most DATs Trade Below Asset Value

When asked whether the DAT trend represents a speculative bubble, Lee suggested the correction had already occurred. He noted that nearly 80% of DATs currently trade below the net value of their underlying assets. “If that’s not already a bubble burst,” he said, “then what would be?”

Rather than focusing on whether the bubble has popped, Lee believes the market has matured, with investors becoming more selective and rational in their approach.

BitMine’s Distinction in the DAT Landscape

Lee was quick to distinguish BitMine from other DAT firms, insisting that it is “not just a DAT.” The company is the largest holder of Ethereum (ETH) globally and plays an active role in securing the Ethereum network. BitMine’s long-term vision is to accumulate 5% of Ethereum’s total supply; it already holds more than 3 million ETH, representing over 2.5% of the supply.

A Strategic Role in Ethereum’s Future

Lee described BitMine as a bridge between traditional finance and the Ethereum community, positioning the firm as a key stakeholder in the blockchain’s ongoing evolution. “We’re becoming one of the important voices within Ethereum,” he said, highlighting the company’s focus on network participation and ecosystem development.

AI, Tokenization, and the Next Investment Supercycle

Lee reaffirmed his belief that artificial intelligence and crypto represent the two dominant investment narratives for decades to come. He considers Ethereum the strongest bet in this long-term cycle, citing its reliability, continuous uptime, and growing role in microtransactions driven by AI adoption.

“The tokenization of everything is measured in quadrillions,” Lee said. “As AI scales and micropayments become standard, blockchain — and particularly Ethereum — will be the foundation. That’s why owning ETH still represents an exponential opportunity over Bitcoin.”