Emily Walker
The competition for a Dogecoin ETF in the United States is heating up, with the well-known asset management firm Grayscale now entering the race.
Grayscale Aims to Transform Dogecoin Trust into an ETF
Recently, Grayscale revealed its new Dogecoin Trust, geared towards giving investors access to the DOGE cryptocurrency. Shortly thereafter, Grayscale submitted a form 19-4b to the SEC via the New York Stock Exchange (NYSE) to have this Trust listed and traded as an ETF. To clarify, while a trust operates as a private investment mechanism with shares traded in over-the-counter (OTC) markets, an ETF is structured for trading on public exchanges.
As per the proposed listing, the Grayscale Dogecoin Trust (DOGE) is co-sponsored by Grayscale Operating LLC and Grayscale Investment Sponsors LLC, with the Digital Currency Group (DCG) acting as the designated trustee. Coinbase Custody has been selected as the custodian, while the Bank of New York Mellon (BNY) will function as the administrator and transfer agent for the ETF pending SEC approval.
By submitting its application, Grayscale joins other companies like Bitwise, Rex Shares, and Osprey Funds in vying to launch a Dogecoin ETF in the country. With Donald Trump back in office and a shift in SEC leadership, there is a strong sense of optimism among asset managers looking to broaden the crypto ETF landscape, with plans for funds connected to Litecoin, Solana, XRP, Dogecoin, and Polkadot recently emerging.
This surge in proposals has elicited a mix of excitement and skepticism from the crypto community. Notably, Bloomberg ETF analyst James Seyyart mentioned that while asset managers can introduce various products under SEC regulations, the market will ultimately determine their value.
Dogecoin Whales Accumulate 560 Million DOGE
In another significant development, Dogecoin whales have been actively buying, having acquired 560 million DOGE worth $185.4 million over the past week. This trend follows a notable market downturn and suggests a resurgence of interest and confidence from these major DOGE holders, which is seen as a positive sign by many traders.
As of now, DOGE is priced at $0.3279, marking a slight increase of 0.16% in the last day. Additionally, its trading volume has risen by 36.68%, reflecting substantial market activity. With a total market capitalization of $49.98 billion, Dogecoin holds the position of the eighth largest cryptocurrency and is recognized as the leading memecoin in circulation.