Spot Dogecoin ETF Gains Momentum with Regulatory Engagement
The spot Dogecoin ETF may soon become a reality. Bitwise Asset Management has updated its applications to the U.S. Securities and Exchange Commission (SEC) for both Dogecoin (DOGE) and Aptos (APT) ETFs. this move comes as issuers and regulators engage more closely over these proposals.
Bitwise was among the first to file for a Dogecoin ETF in January. The SEC recently delayed its review, needing more time to ensure the product meets legal standards. The revised proposals now include âin-kindâ creation and redemption mechanisms. This feature allows ETF shares to be exchanged directly for the underlying crypto asset, improving tax efficiency and reducing market impact.
Eric Balchunas, a Bloomberg ETF analyst, views these updates positively. He believes the inclusion of in-kind mechanics is a significant enhancement, likely setting a positive precedent for other spot crypto ETFs. Balchunas shared that this indicates growing momentum around spot crypto ETFs.
James Seyffart, another Bloomberg analyst, estimated an 80% chance of approval for a Dogecoin ETF earlier this month. The increased regulatory engagement suggests a likely path to approval.
Other firms like Grayscale and 21Shares are also vying for Dogecoin ETF approval. Bitwise remains the only issuer to file for an Aptos fund. The SEC is reviewing numerous spot ETF proposals as institutional interest in altcoin-based products grows.