Grayscale has filed an S-1 registration statement with the SEC for its Dogecoin ETF. This proposal aims to provide investors access to Dogecoin without the need for direct purchase.
Details of the ETF Filing
In its filing, Grayscale intends to create a fund named Grayscale Dogecoin Trust ETF. If approved, the fund will trade on NYSE Arca under the ticker GDOG. Dogecoin will be the sole asset of the fund, offering a secure way for investors to participate in this market.
Coinbase Chosen as Asset Custodian
According to the filing, the trust's assets will be held by Coinbase Custody Trust Company. Shares will be issued and redeemed in blocks of 10,000, referred to as 'Baskets.' The fund's valuation will be based on the CoinDesk Dogecoin Reference Rate.
Market Impact of Dogecoin
After the filing, Dogecoin's price surged by 2.5%, rising from $0.22395 to $0.22976. Over the last week, the token increased by 2.67% and by 14.65% over the past 30 days, responding to a growing interest in investment products based on cryptocurrencies.
Grayscale's application to create a Dogecoin ETF highlights the increasing interest in cryptocurrency-based investment products. The market's reaction to this news reflects Dogecoin's potential as an investor-oriented asset.
