U.S. Dogecoin ETF Launches Thursday, SEC Delays Bitwise

First U.S. Dogecoin ETF to Debut Thursday

The crypto market is set to reach a new milestone as the first U.S. Dogecoin exchange-traded fund (ETF) prepares to launch this Thursday. Trading under the ticker DOJE, the product is issued by REX Shares and Osprey Funds, marking a major step in bringing the popular memecoin into traditional finance.

SEC Postpones Decision on Bitwise Dogecoin ETF

While REX and Osprey move ahead with DOJE, the U.S. Securities and Exchange Commission (SEC) has once again delayed its decision on the Bitwise Dogecoin ETF proposal.
In its latest filing, the SEC said it requires more time to determine whether to approve or reject the rule change that would allow Bitwise to list a Dogecoin ETF. This is the second delay, following a previous postponement in June. On the same day, the SEC also pushed back a decision on Grayscale’s proposed Hedera ETF.

DOJE Structured Under the Investment Company Act of 1940

To bring their product to market, REX Shares and Osprey Funds leveraged the Investment Company Act of 1940, a U.S. law designed to protect investors from conflicts of interest and fraud. According to its prospectus, DOJE will give investors indirect exposure to Dogecoin through a Cayman Islands subsidiary, the REX-Osprey Doge (Cayman) Portfolio SP.

Analysts Weigh In on the Launch

Bloomberg Intelligence analyst Eric Balchunas commented on the upcoming launch:

“The memecoin ETF era seems about to begin, with DOJE set to launch Thursday under the 1940 Act. This is likely the first U.S. ETF to hold something with no real use case.”

SEC’s Crypto ETF Outlook

New SEC Chairman Paul Atkins has promised a more crypto-friendly stance. However, with nearly 100 crypto ETF applications still pending, the regulatory landscape remains uncertain despite growing demand from investors.

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