In a development that could further blur the lines between internet culture and traditional finance, the Rex Shares-Osprey Dogecoin ETF (DOJE) is poised for launch this week, potentially marking a significant milestone for meme coins in the financial markets. After multiple delays and considerable speculation, this exchange-traded fund, centered around the famously whimsical Dogecoin, might finally see the light of day on Thursday. However, as with all things in the volatile world of cryptocurrency, nothing is set in stone.
A Long-Awaited Debut
The DOJE ETF was initially scheduled to debut last week alongside a slew of other innovative funds, including those linked to Bonk (BONK), XRP, Bitcoin (BTC), and even a Trump-themed fund. Despite the anticipation, DOJE’s launch was postponed, leaving investors and enthusiasts on tenterhooks. Now, according to Bloomberg’s ETF analysts Eric Balchunas and James Seyffart, Thursday seems to be the most likely date for the launch, though they caution that the situation remains fluid. “It’s more likely than not,” Seyffart noted, adding a layer of uncertainty that is all too familiar in the crypto realm.
The Significance of DOJE
Should DOJE officially launch, it would represent the first U.S. ETF to focus exclusively on a meme coin, a category of cryptocurrencies often criticized for lacking tangible utility or economic purpose. Dogecoin, along with its peers like Shiba Inu (SHIB) and Bonk, has captured the imaginations of many, fueled by internet memes, celebrity endorsements, and speculative trading. Balchunas captured the fund’s novelty in a post on X, stating, “First-ever US ETF to hold something that has no utility on purpose.”
Unlike traditional ETFs, DOJE is not a spot ETF, meaning it doesn’t hold DOGE directly. Instead, it uses a Cayman Islands-based subsidiary to gain exposure through futures and other derivatives. This strategy allows the fund to offer a way to bet on DOGE’s performance without the complexities of physical custody.
Regulatory Framework and Future Prospects
The fund received approval earlier this month under the Investment Company Act of 1940, which is frequently used for mutual funds and diversified ETFs. This regulatory framework distinguishes it from the earlier wave of Bitcoin ETFs, which were approved under the Securities Act of 1933. Essentially, DOJE is structured more like a mutual fund than a commodity trust.
Looking ahead, more direct exposure to Dogecoin might be on the horizon. Several firms have already filed applications to launch spot DOGE ETFs, which would hold the meme coin itself rather than derivatives. These proposals are still under review by the U.S. Securities and Exchange Commission (SEC), an agency that has become increasingly comfortable with crypto ETFs following the approval of several Bitcoin products in early 2024.
Market Sentiment and Skepticism
The broader cryptocurrency market has demonstrated that investor demand can often overshadow fundamental criticisms. Despite skepticism surrounding the lack of intrinsic value or utility in meme coins, they continue to attract billions in speculative capital. Seyffart anticipates the ETF market will follow a similar trajectory. “There’s going to be a bunch of products like this, whether you love it or need it, they’re going to be coming to market,” he said, pointing out that many existing financial products are used primarily for short-term trading or as a form of gambling.
In his view, if there’s an audience for such products in the crypto world, it wouldn’t be surprising to see them gain traction in the ETF and traditional finance (TradFi) sectors. The potential success of the DOJE ETF could pave the way for more meme coin funds or at least validate the concept within financial markets.
What Lies Ahead
Whether DOJE opens the floodgates for more meme coin ETFs or simply serves as a proof of concept will largely depend on the market’s reaction this week. Regardless of the outcome, its launch signifies a new chapter in the ongoing convergence of internet culture and mainstream finance. The ETF’s debut could also influence the trajectory of other crypto-related products, possibly encouraging financial institutions to explore novel investment vehicles that cater to the ever-evolving tastes of modern investors.
In the meantime, as the crypto community waits with bated breath, the potential launch of the DOJE ETF underscores the dynamic and unpredictable nature of the cryptocurrency landscape. As we edge closer to Thursday, all eyes will be on the performance and reception of this groundbreaking fund, which could shape the future of meme coins in traditional financial markets.
Steve Gregory is a lawyer in the United States who specializes in licensing for cryptocurrency companies and products. Steve began his career as an attorney in 2015 but made the switch to working in cryptocurrency full time shortly after joining the original team at Gemini Trust Company, an early cryptocurrency exchange based in New York City. Steve then joined CEX.io and was able to launch their regulated US-based cryptocurrency. Steve then went on to become the CEO at currency.com when he ran for four years and was able to lead currency.com to being fully acquired in 2025.
