Well, here we go again. Just when you thought the crypto ETF space might be settling down after the big Bitcoin approval, it seems we’re heading for another wave. This time, it’s not the big names like Bitcoin or Ethereum taking the spotlight.
First Movers: XRP and Dogecoin Get Their Turn
According to announcements made this Monday, two new exchange-traded funds are expected to launch in the U.S. this week. One is set to track XRP, the other Dogecoin. It’s a notable shift, really, showing that regulators might be getting a bit more comfortable with these types of products—or at least, not immediately blocking them.
The REX-Osprey XRP ETF, set to trade under the ticker XRPR, is apparently scheduled to start trading on Friday. Barring any last-minute surprises, which don’t seem to be expected. This is a big deal for XRP holders, as it’ll be the first U.S. ETF to offer direct spot exposure to the cryptocurrency. It’s the third-largest by market cap, so that’s nothing to sneeze at.
What’s interesting is how they’re getting this done. They’re using the Investment Company Act of 1940, which is a different path than the one used for the spot Bitcoin ETFs. This older act has a simpler process. Basically, the fund can launch automatically 75 days after its initial filing if the SEC doesn’t actively object. And it looks like that window has passed without a hitch.
Nate Geraci, president of ETF Store, mentioned this could be a good test to see if there’s real demand for a spot XRP ETF. He pointed out that futures-based XRP ETFs are already nearing a billion dollars in assets. That’s a decent amount of interest.
Not Just XRP: The Dogecoin ETF Is Coming, Too
But it’s not just about XRP. Apparently, we’re getting a Dogecoin ETF as well. Eric Balchunas, a Bloomberg ETF analyst, said the Doge ETF (ticker DOJE) is slated for a Thursday launch. That’s even sooner.
This one is also coming from REX-Osprey and was approved under that same 1940 Act framework. It’s a structure more commonly used for mutual funds. And it’ll make history as the first memecoin ETF in the country. Whether that’s a good thing or just a sign of the times, I’ll leave that for you to decide.
REX-Osprey isn’t new to this. They launched the first Solana staking ETF back in July. Though, to be honest, interest in that one has been pretty lukewarm. It’s only gathered around $274 million in assets, with very little new money coming in recently.
A Growing Pipeline of Crypto Funds
This feels like just the beginning. According to data from Bloomberg analyst James Seyffart, there were over 90 crypto exchange-traded products waiting for SEC approval as of the end of August. That’s a lot of paperwork.
We’re seeing movement on other fronts, too. Canary Capital updated its filing for a Litecoin ETF, with a final SEC decision expected in early October. Bitwise just filed for a spot Avalanche ETF. VanEck and Grayscale are also in the game for an Avalanche product.
But it’s not all green lights. The SEC has also pushed back its decisions on a few others, including Bitwise’s proposed Dogecoin ETF and Grayscale’s Hedera ETF. They’ve set a new deadline for mid-November. So the waiting game continues for some.
It seems the floodgates are slowly opening, bit by bit. Whether investors are
