Dogecoin News Today: "40 Act Shortcut Paves Fast Track for First Dogecoin ETF"

The first Dogecoin (DOGE) exchange-traded fund (ETF) in the United States may launch as early as next week, according to Bloomberg ETF analyst Eric Balchunas. The anticipated product is being developed by REX Shares, which is leveraging the regulatory framework of the Investment Company Act of 1940—commonly known as the “40 Act.” This route allows the firm to bypass the traditionally slower SEC approval process required for standard crypto ETFs, which typically involve filing both Form S-1 and Form 19b-4. REX previously used the same strategy to launch its Solana staking ETF earlier this year. Balchunas cited the firm’s filing of an effective prospectus with the SEC as a key indicator of the impending launch [1].

REX’s Dogecoin ETF will differ from the commodity-based or grantor trust models used by other applicants such as Bitwise and Grayscale. Instead, it will be structured as an open-end investment company under the 40 Act, which allows for faster regulatory clearance and eliminates the need for a bespoke 19b-4 approval. This approach has been described by ETF Store president Nate Geraci as a “regulatory end-around.” In its prospectus, REX warned that Dogecoin is subject to significant risks, including extreme price volatility and market uncertainty [2]. Over the past year, DOGE has surged 116.67% but has fallen 54% from its December 2024 peak of $0.4672, trading near $0.2129 at the time of publication [3].

While REX is making rapid progress, other major players in the Dogecoin ETF race are still waiting for SEC decisions. Firms such as 21Shares, Bitwise, and Grayscale have all submitted applications for Dogecoin-based products, which remain pending. REX is also pursuing an ETF tied to the TRUMP token using the same 40 Act structure. This method allows for quicker market entry by avoiding the traditional SEC filing process, which can be lengthy and uncertain [4].

The cultural and mainstream appeal of Dogecoin continues to drive institutional interest. Elon Musk, a long-time advocate for the token, has repeatedly highlighted its potential, even referring to it as “a hustle” during a 2021 appearance on Saturday Night Live. More recently, Musk’s attorney, Alex Spiro, reportedly chaired a company aiming to raise $200 million for Dogecoin investments. These developments underscore the coin’s unique position in the cryptocurrency landscape, despite its volatile price action [5].

Meanwhile, the Trump family-linked Thumzup Media Corporation is making a significant move into the Dogecoin mining sector. The company announced plans to acquire 3,500 mining rigs, with expectations of generating up to $103 million in annual revenue if DOGE reaches $1. Thumzup cited data from BIT Mining indicating that Dogecoin mining is nearly three times more profitable than Bitcoin mining. The company’s pivot from an adtech platform to crypto mining includes the acquisition of DogeHash Technologies, with the combined entity expected to trade under the ticker XDOG. This expansion aligns with broader industry trends, as the crypto mining market is projected to grow significantly by 2035 [6].

The convergence of regulatory innovation, cultural relevance, and institutional investment highlights Dogecoin’s growing influence in both mainstream finance and the broader crypto ecosystem. As REX’s ETF nears a potential launch, it represents a pivotal moment for the meme coin, offering investors a new and accessible way to gain exposure to its volatile yet culturally significant asset class.

Source:

[1] title1 (https://cointelegraph.com/news/dogecoin-etf-united-states-launch-next-week-analyst)

[2] title2 (https://finance.yahoo.com/news/first-dogecoin-etf-may-debut-042810821.html)

[3] title3 (https://www.mitrade.com/insights/news/live-news/article-3-1097444-20250905)

[4] title4 (https://cointelegraph.com/news/trump-jr-backed-company-bets-big-dogecoin-mining)

[5] title5 (https://coinpaper.com/10896/first-dogecoin-etf-may-launch-in-the-us-as-early-as-next-week)