Dogecoin News Today: First Dogecoin ETF Could Bypass SEC Hurdles with Regulatory Shortcut

REX Shares is preparing to launch a Dogecoin exchange-traded fund (ETF) in the United States, potentially as early as next week, according to Bloomberg ETF analyst Eric Balchunas. The ETF will utilize the 40 Act regulatory structure, a path previously used for the firm’s Solana staking ETF. This approach allows REX Shares to bypass the lengthy and complex regulatory hurdles typically associated with traditional crypto ETF filings, which require submission of Form S-1 and Form 19b-4 with the U.S. Securities and Exchange Commission (SEC) [1].

Balchunas noted that the filing of an effective prospectus by REX Shares with the SEC indicates the ETF is close to approval. The firm has framed the launch as a "regulatory end-around," a strategy described by ETF Store president Nate Geraci as a faster and more straightforward route to market. The prospectus highlights the unique and substantial risks associated with Dogecoin (DOGE), including rapid price swings and market uncertainty [2].

Over the past year, Dogecoin has experienced a 116.67% surge in value, as reported by CoinMarketCap. However, it has since cooled from its 2024 high of $0.4672, trading at approximately $0.2129 at the time of publication. The token has long drawn attention for its meme-based origins and cultural resonance, particularly due to its association with tech mogul Elon Musk, who has publicly endorsed the cryptocurrency. More recently, Musk’s attorney was reported to be leading a public company seeking to raise $200 million to invest in Dogecoin [1].

Alongside the Dogecoin ETF, REX Shares has also submitted a filing for an ETF linked to the TRUMP token. The proposed fund would offer exposure to the TRUMP token by purchasing shares in an offshore entity that holds the digital asset. This demonstrates the firm’s broader interest in alternative token-based investment products [2]. Meanwhile, other firms, including 21Shares, Bitwise, and Grayscale, have also submitted applications for Dogecoin ETFs under traditional regulatory frameworks but remain pending SEC approval.

The SEC is currently reviewing a total of 92 crypto ETF applications, according to Bloomberg Intelligence analyst James Seyffart. The regulatory environment for crypto-related financial products remains complex and evolving, with the 40 Act structure emerging as a viable alternative for firms seeking quicker market access. If approved, REX Shares’ Dogecoin ETF would represent the first U.S.-listed fund to offer direct exposure to the meme coin, which has gained widespread recognition despite its origins as a joke [1].

Source: [1] Dogecoin may see first-ever ETF launch next week: Analyst (https://cointelegraph.com/news/dogecoin-etf-united-states-launch-next-week-analyst) [2] First Dogecoin ETF May Debut in the US Next Week (https://finance.yahoo.com/news/first-dogecoin-etf-may-debut-042810821.html)