Shiba Inu (SHIB), one of the largest meme cryptocurrencies, valued at over $9 billion, has not garnered interest from institutional investors for ETF applications. This article examines the reasons and factors explaining this phenomenon.
Surge in ETF Interest for Meme Coins
Since January 2025, there has been a growing interest from institutional investors in meme coin ETFs. Dogecoin (DOGE) has led this trend, with multiple applications from managers like Rex Shares and Osprey Funds. Grayscale filed a proposal to convert its Dogecoin Trust to an ETF earlier this year, and 21Shares followed with a DOGE ETF application in April. Other tokens, including TRUMP coin and BONK, are also part of the ETF conversation, highlighting the surprising absence of SHIB in these applications.
Lack of Transparent Leadership as a Barrier
A key difference between SHIB and its ETF-listed peers is its leadership structure. While Dogecoin operates as a decentralized project, Shiba Inu is run by an anonymous development team. The lead figure behind SHIB, known pseudonymously as Shytoshi Kusama, opts to maintain privacy, which may raise concerns among asset managers regarding project oversight and accountability, crucial elements when evaluating ETF candidates.
Complex Ecosystem and Project Maturity
Shiba Inu offers a complex ecosystem, including the ShibaSwap decentralized exchange, Shibarium blockchain, and NFTs. This complexity may hinder the establishment of a traditional ETF, which typically favors simpler projects. Moreover, some of SHIB's initiatives are still under development, leading to the conclusion that the project has not yet reached a sufficiently mature or stable phase for ETF inclusion.
Despite being the second-largest meme cryptocurrency, Shiba Inu remains overlooked by institutional ETF issuers. Anonymous leadership, lack of public endorsements, and a complex ecosystem may be key factors. Without enhancing its institutional appeal, SHIB risks remaining sidelined from the current wave of meme coin ETF applications.
