logo
Back to News
Dogecoin ETF: US Market Debut Imminent?

Dogecoin ETF: US Market Debut Imminent?

Markets

Dogecoin ETF Could Enter the US Market Soon

A prominent ETF analyst's prediction of a Dogecoin ETF launch on US markets this Thursday ignited a brief rally in DOGE. The approval of a meme coin ETF could pave the way for more altcoin ETFs, especially given DOGE's lack of inherent utility beyond its community.

However, the initial excitement has waned, suggesting market participants are awaiting more concrete confirmation. The SEC's past hesitancy with altcoin ETF approvals further fuels this cautious sentiment.

Potential Impact of a Dogecoin ETF

Dogecoin has seen increased trading activity fueled by growing anticipation of ETF approval. Eric Balchunas, a well-known ETF analyst, recently suggested the ETF could launch soon:

A Dogecoin ETF approval in the US would mark a significant event in crypto. While the SEC has been cautious about approving new altcoin ETFs, a meme coin ETF could set a new precedent.

Dogecoin, as the original meme coin, is potentially leading the way. This ETF would be the first US-listed ETP with an underlying asset lacking inherent utility.

While this particular ETF might utilize a different approval model, it still represents a notable development.

Market Response and Uncertainty

Despite the initial price surge following the ETF speculation, Dogecoin's gains have since been erased:

Dogecoin Price Performance
Dogecoin Price Performance. Source: CoinGecko

This suggests the market requires further confirmation. Despite efforts to ease approval requirements, the SEC has not yet definitively approved new products. Past instances of delayed or reversed approvals contribute to the current market hesitancy.

Until an official launch announcement, uncertainty prevails. A successful approval could significantly benefit Dogecoin, but the SEC's potential for a change of heart remains a risk. Investors should carefully consider the potential before making any investment decisions. As with any new asset class, it is important to do your due diligence on projects and secure them. Codeum provides a suite of security tools for blockchain projects, including smart contract auditing and KYC/AML compliance services.

Share this article