21Shares, a leading player in the cryptocurrency investment market, has made a significant move by filing for approval with the U.S. Securities and Exchange Commission (SEC) for a spot Dogecoin exchange-traded fund (ETF). The proposal, filed on April 9, 2025, seeks to create a new way for investors to directly invest in Dogecoin, a cryptocurrency that has seen a surge in both popularity and community support.

The proposed ETF, named the 21Shares Dogecoin ETF, aims to track the price movements of Dogecoin using the CF DOGE-Dollar US Settlement Price Index. This benchmark would ensure the fund follows the value of Dogecoin as closely as possible, providing a straightforward investment option for those interested in the meme-based cryptocurrency.

Unlike more complex trading products, the 21Shares Dogecoin ETF would be a passive investment vehicle. This means it would not involve the use of derivatives or leverage, reducing the risks associated with more complicated investment strategies. Instead, the ETF would directly hold Dogecoin and calculate its daily net asset value (NAV) based on the price index. This structure is designed to make it easier for investors to gain exposure to Dogecoin without worrying about complex trading mechanisms.

In terms of security, the ETF has proposed Coinbase Custody as its custodian, ensuring that the digital assets are stored safely. The fund would not engage in frequent trading of Dogecoin, except for occasional adjustments, such as rebalancing during the creation and redemption of shares or covering operational costs. This approach aligns with the growing demand for secure, transparent investment products in the cryptocurrency space.

The timing of this filing comes amid growing interest in Dogecoin as an investment asset. On the very day before the SEC filing, 21Shares also introduced the world’s first Dogecoin exchange-traded product (ETP) on the SIX Swiss Exchange. Tickered as “DOGE,” this new product provides another regulated option for investors to get exposure to Dogecoin. Duncan Moir, president of 21Shares, emphasized that the ETP is a way for investors to access Dogecoin in a regulated manner, giving them confidence in the legitimacy of the investment.

21Shares’ filing for the Dogecoin ETF is part of a broader movement within the cryptocurrency industry. Several other companies, including Grayscale, Bitwise, and Rex Shares, have also filed applications with the SEC for similar Dogecoin ETFs. Grayscale, in particular, is undergoing a 240-day review process for its filing, with the SEC expected to thoroughly evaluate these proposals.

The growing number of Dogecoin ETF filings comes as optimism about the future of such investment products continues to build. According to Polymarket, a betting platform that tracks market sentiment, there is a 64% chance that the SEC will approve a spot Dogecoin ETF in 2025. This statistic highlights the high level of anticipation in the market and the increasing demand for regulated cryptocurrency investment options.

For 21Shares, this filing represents a strategic move to tap into the rapidly growing market for cryptocurrency-based investment products. As Dogecoin continues to gain popularity, driven by its strong community and cultural significance, the proposed ETF would offer investors a new and secure way to access this unique digital asset.

In conclusion, 21Shares’ filing with the SEC for a spot Dogecoin ETF could be a game-changer for both the cryptocurrency market and mainstream investors. It marks a growing trend of regulated crypto investment products, making it easier for people to invest in Dogecoin and other cryptocurrencies with confidence. As the approval process moves forward, it remains to be seen how the SEC will respond, but the excitement in the crypto community is palpable.