The SEC now has Bitwise Asset Management’s application for its proposed Dogecoin (DOGE) exchange-traded fund (ETF) to review.
According to Matt Hougan, the investment chief of Bitwise, this launch will make it the first DOGE-focused ETF of its type to enter the tightly controlled U.S. financial landscape.
A bold step in the Crypto industry
Bitwise submitted the papers to state regulators on January 23 after completing formal establishment steps with Delaware’s Corporate Division. Hougan made the official announcement when he said, “We initiated this.” The Bitwise Dogecoin ETF tries to benefit from rising demand for Dogecoin through its recent market recovery. Despite ranking among the top cryptocurrencies for market size, no company or bank has sought to establish an ETF product before this filing.
In 2013, Dogecoin was launched as a funny response to the digital currency market before transforming into a major market participant. The Shiba Inu token became famous last year thanks to Donald Trump’s administration backing and Elon Musk’s regular endorsements.
DOGE gains political and market momentum
President Trump runs the Department of Government Efficiency, where Dogecoin gained unexpected status as a money advancement tool. After posting Dogecoin’s brand image on its official website, the department made investors more hopeful and curious about its future potential. As a leading figure in finance, Elon Musk keeps driving the masses to accept Dogecoin as a standard payment method.
People who study the market like Bitwise’s decision. According to Nate Geraci, the head of ETF Store, Dogecoin’s performance ranks it as the seventh largest cryptocurrency, which makes developing an ETF around its market activity viable. The team considered this shift part of their business strategy and might lead to regulatory acceptance.
Hope for regulatory clarity
The company made its submission when people eagerly expected new rules to govern cryptocurrencies in America. The financial industry awaits updated rules to name which cryptocurrency types are securities. Bloomberg analyst Eric Balchunas noted that DOGE transformed from being a funny digital currency to receiving ETF status, demonstrating the market’s evolving ways. Bitwise pushes for crypto advancements through its filing as more people believe new regulatory rules will make crypto ETFs more accessible.