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DOGE ETF Breakthrough: REX Shares Poised to Launch First Dogecoin Exchange-Traded Fund Using Novel Regulatory Shortcut

सितंबर 05, 2025 , ,
REX Shares has filed for the $DOJE Dogecoin ETF using the 1940 Act structure, allowing for a potential launch as early as next week.

The cryptocurrency investment landscape is on the verge of a potentially historic moment as REX Shares, in partnership with Osprey Funds, appears positioned to launch the first-ever Dogecoin exchange-traded fund (ETF) in the United States as early as next week. The development represents a significant milestone for both the meme coin sector and traditional investment products, potentially opening the door to broader institutional adoption of alternative cryptocurrencies.



The REX-Osprey Strategy: Bypassing Traditional Delays

REX Shares has filed for the REX-Osprey™ DOGE ETF with ticker symbol $DOJE, utilizing the Investment Company Act of 1940 (commonly known as the "40 Act") structure rather than the traditional Form S-1 and 19b-4 pathway typically required for cryptocurrency ETFs. This strategic approach mirrors the company's successful launch of a Solana staking ETF earlier in 2025, demonstrating REX's ability to navigate alternative regulatory frameworks effectively.

Bloomberg Intelligence analyst Eric Balchunas flagged the development on X (formerly Twitter), stating: "Looks like Rex is going to launch a Doge ETF via the 40 Act next week based on the below tweet combined with how they just filed an effective prospectus." Balchunas' analysis suggests that the timing and filing structure indicate imminent approval potential.

The 40 Act structure offers several advantages over traditional crypto ETF pathways. Unlike spot cryptocurrency ETFs that must navigate the lengthy Securities and Exchange Commission (SEC) review process involving Forms S-1 and 19b-4, the 40 Act provides a more streamlined route to market. These funds are structured as C-Corporations and do not require the 19b-4 process, which is typically mandatory for crypto funds that track spot prices.



Understanding the Investment Structure

According to the REX-Osprey Form N-1A filing, the fund will invest at least 80% of its assets in Dogecoin or financial instruments tied to the token, including direct purchases, futures, and swaps that mirror Dogecoin's performance. The ETF may also allocate part of its portfolio to US Treasuries to maintain liquidity and manage risk.

The fund will track DOGE's performance through a Cayman Islands-based subsidiary structure, a common approach for cryptocurrency investment vehicles that allows for more flexible regulatory compliance. This means the fund will not hold DOGE directly, but rather use derivatives and an external subsidiary to replicate Dogecoin's price movements.

Risk Acknowledgment and Market Warnings

REX has been transparent about the inherent risks associated with Dogecoin investment. In its prospectus filing, REX warned that "DOGE is a relatively new innovation and is subject to unique and substantial risks. The market for DOGE is subject to rapid price swings, changes, and uncertainty." This cautionary language reflects the highly volatile nature of meme coins and the speculative investment environment surrounding such assets.

The acknowledgment of these risks is particularly significant given Dogecoin's price history. While Dogecoin has surged 116.67% over the past year according to CoinMarketCap, the cryptocurrency remains subject to dramatic price fluctuations driven by social media sentiment, celebrity endorsements, and broader market dynamics rather than fundamental utility or adoption metrics.

Competitive Landscape: Traditional Filers Still Waiting

REX's potential first-mover advantage becomes more pronounced when considered against the backdrop of competing applications still awaiting SEC approval through traditional channels. Major investment firms, including 21Shares, Bitwise, and Grayscale, have all submitted Dogecoin ETF applications earlier in 2025, but remain in regulatory limbo under the conventional approval process.

The current deadline structure for these traditional filings reveals the extended timeline REX has managed to circumvent. Bitwise and Grayscale face an October 18, 2025, deadline for their applications, while 21Shares has until January 9, 2026. While those firms are waiting for regulatory approval via the conventional pathway, REX opted for the 40 Act framework that could accelerate its launch.

Market Sentiment and Betting Odds

Despite regulatory delays affecting traditional applications, market optimism has been growing. According to Polymarket, the odds of a spot DOGE ETF approval have surged to 80%, reflecting increased investor confidence in near-term developments. This betting market sentiment suggests that institutional and retail investors alike anticipate a regulatory breakthrough in the Dogecoin ETF space.

The high confidence levels on prediction markets may reflect several factors: the success of Bitcoin and Ethereum ETFs in gaining SEC approval, the growing institutional acceptance of cryptocurrency investment products, and the demonstrated ability of firms like REX to navigate alternative regulatory pathways successfully.

Broader Portfolio Strategy: Beyond Dogecoin

REX's filing strategy extends beyond Dogecoin, indicating a comprehensive approach to meme coin and alternative cryptocurrency ETFs. The prospectus also includes references to additional tokens, with plans for ETFs tied to XRP, BONK, TRUMP, BTC, ETH, and SOL. REX also filed for another product under the same framework that will track the price of the Official Trump (TRUMP) token.

This multi-asset approach suggests REX is positioning itself to capture what it perceives as significant retail demand for meme coin and alternative cryptocurrency exposure through traditional investment vehicles. The strategy could establish REX as a dominant player in what may become a new category of thematic cryptocurrency ETFs.

Technical Analysis and Price Context

DOGE is currently trading around $0.21, down from its 2024 high of $0.46. Technical analysis shows a rounding bottom formation and triangle consolidation with support at $0.18. The current price level provides context for the potential ETF launch, as institutional investors will be entering at significantly discounted levels compared to recent highs.

Price prediction models show technical patterns suggesting a rounding bottom with potential targets at $0.27, $0.31, and $0.54 should the ETF launch provide the catalyst for renewed institutional interest and retail momentum.

Implications for Cryptocurrency Legitimacy

If REX proceeds with the launch, its fund would become the first US-listed ETF to provide direct exposure to Dogecoin. This would not only boost the memecoin's legitimacy in the eyes of institutional investors but also signal a broader acceptance of alternative cryptocurrencies beyond Bitcoin and Ethereum, which have already achieved ETF status.

The potential approval represents more than just a new investment product; it could mark a regulatory shift toward accepting meme coins and community-driven cryptocurrencies as legitimate asset classes worthy of institutional investment vehicle treatment. This development could have cascading effects throughout the alternative cryptocurrency ecosystem.



Timeline and Next Steps

The first Dogecoin ETF in the United States could be just days from hitting the market, with REX Shares moving to launch the product. Bloomberg analysts believe it could be approved as early as next week. The accelerated timeline reflects the 40 Act pathway's efficiency compared to traditional crypto ETF approval processes.

If approved and launched as anticipated, the $DOJE ETF would provide retail and institutional investors with regulated, exchange-traded exposure to Dogecoin without the technical complexities of cryptocurrency wallet management, private key security, or direct exchange trading.

Industry Watch: Setting Precedent for Meme Coin ETFs

The REX-Osprey Dogecoin ETF represents a potential watershed moment for meme coin legitimacy and institutional cryptocurrency acceptance. Success in bringing $DOJE to market could establish a template for future meme coin and alternative cryptocurrency ETF launches, potentially accelerating the pace of crypto asset integration into traditional financial markets.

As the cryptocurrency industry continues to mature and seek broader institutional adoption, the ability to package volatile, community-driven assets like Dogecoin into regulated investment vehicles may prove crucial for bridging the gap between traditional finance and digital asset innovation.

The coming days will reveal whether REX Shares' strategic regulatory approach succeeds in delivering the first Dogecoin ETF to American investors, potentially cementing the company's position as a pioneer in alternative cryptocurrency investment products and opening new pathways for meme coin institutional adoption.

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