Dogecoin News Today: What If Dogecoin's ETF Changes the Game for Mainstream Crypto?

The potential launch of the first Dogecoin (DOGE) exchange-traded fund (ETF) in the United States has gained significant momentum, with indications pointing to a likely debut as early as next week. Bloomberg analyst Eric Balchunas noted in a recent X post that REX Shares appears poised to launch the ETF under the 40 Act framework, a regulatory strategy previously used to secure approval for its Solana staking ETF. This alternative pathway bypasses the more conventional and often delayed S-1 and 19b-4 filing processes, streamlining the approval timeline [1].

According to REX Shares' filed prospectus with the U.S. Securities and Exchange Commission, Dogecoin is described as a "relatively new innovation" that carries "unique and substantial risks," including market volatility and uncertainty. Despite its risks, the cryptocurrency has shown strong performance over the past year, surging 116.67% according to CoinMarketCap. However, it has corrected significantly since hitting a peak of $0.4672 in December 2024, trading at $0.2129 at the time of reporting [1].

This development comes amid a broader push to introduce Dogecoin into traditional financial markets. While REX Shares is leading the charge via the 40 Act route, several other ETF issuers, including 21Shares, Bitwise, and Grayscale, have submitted filings for Dogecoin ETFs through the traditional SEC filing process. These applications remain pending, highlighting the varied regulatory pathways available to market participants [1].

The growing institutional interest in Dogecoin is not a new phenomenon. The cryptocurrency has long attracted mainstream attention, in large part due to its association with billionaire Elon Musk. Musk has been a vocal supporter of DOGE for years, even referring to himself as the “Dogefather” and humorously describing the token as “a hustle” on Saturday Night Live in 2021. More recently, Musk’s attorney, Alex Spiro, was reported to be leading a public company seeking to raise $200 million to invest in Dogecoin, further underlining the asset's cultural and financial footprint [1].

The launch of a Dogecoin ETF could mark a pivotal moment in the broader 2025 crypto cycle. If approved, the product would represent a key step in the normalization of exposure to cryptocurrencies within traditional financial markets, potentially broadening the investor base and increasing liquidity for DOGE. The regulatory and market dynamics surrounding this launch could set a precedent for future crypto ETFs, particularly those following the 40 Act strategy [1].

REX Shares has also filed for an ETF under the same regulatory framework that tracks OFFICIAL TRUMP (TRUMP), an indication that the 40 Act strategy may become a preferred route for innovative or speculative tokens seeking ETF inclusion. This trend highlights the evolving landscape of crypto investing and the creative regulatory approaches being adopted to meet market demand [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)