On January 23, Bitwise Asset Management filed for a Dogecoin exchange-traded fund (ETF), marking a significant step towards product approval.
Details of the Filing
Bitwise's Chief Investment Officer, Matt Hougan, confirmed the filing with the SEC, marking it a preliminary step before a full application. While this filing is not yet an official ETF proposal, it signals Bitwise's intentions to bring a DOGE-focused investment product to market. As part of the process, a Delaware statutory trust was filed, enabling Bitwise to establish clear governance and tax benefits, as well as to separate any potential ETF assets from other company activities.
The Resurgence of Dogecoin
Dogecoin, which began in 2013 as a satirical project by Markus and Jackson Palmer, has evolved into one of the most recognized cryptocurrencies. Initially created as a joke, with a Shiba Inu dog as its mascot, it has long been considered a memecoin. High-profile supporters like Elon Musk have contributed to its legitimacy and popularity, leading to growing interest in its investment potential.
Expectations and Projections
The filing for a Dogecoin ETF does not come as a surprise. Nate Geraci, President of the ETF Store, noted that it was unexpected that no issuer had yet filed for a DOGE ETF, given its large market capitalization. Meme coins like Dogecoin are gaining significant attention, including projects like Trump's TRUMP coin and Floki, which plans to launch a trading product in Europe by early 2025.
Bitwise's application for a Dogecoin ETF underscores the growing interest and potential of meme cryptocurrency in the market. Analysts anticipate similar filings for other altcoins.