Japanese Digital Asset Treasury (DAT) firms are consistently outperforming Bitcoin, driven by favorable tax treatment of equity gains compared to crypto profits. In Japan, crypto profits face taxes of up to 55%, while equity gains are taxed at approximately 20%, with the added benefit of loss carryforwards. This tax disparity incentivizes investors to purchase shares in BTC-holding companies, effectively bypassing the higher crypto tax rates. In contrast, U.S. DATs tend to trade closer to their Bitcoin holdings due to a more neutral tax environment. However, the success of the DAT model in Japan has raised concerns among regulators about potential risks, prompting Japan's tax authority to consider changes that could diminish the current tax advantages.