Asset manager Bitwise is the latest contender for a Dogecoin ETF after the NYSE Arca submitted a 19b-4 application to the US SEC.
Bitwise, a prominent asset manager with over $12 billion worth of client assets, is officially moving ahead with its Dogecoin Trust. On Monday, the NYSE Arca, a New York Stock Exchange (NYSE) subsidiary, filed a 19b-4 form with the US Securities and Exchange Commission on behalf of Bitwise.
The NYSE Arca submitted the rule change request to list and trade shares of the Bitwise Dogecoin ETF. This traditional investment vehicle would track Dogecoin’s performance using the CF Dogecoin-Dollar Settlement Price as a benchmark and provide alternative exposure to institutions and retailers.
Bitwise Officially Request Rule Change
Bitwise has taken preliminary steps prior to Monday’s filing amid growing institutional demand for Dogecoin, the largest meme coin by market cap. First, the asset manager registered the Bitwise Dogecoin ETF with the CSC Delaware Trust Company.
Then, Bitwise submitted an S-1 filing through NYSE to the US SEC seeking to provide the investment vehicle to its clients. Notably, these two steps, though progressive, do not constitute an official intent for the asset manager’s rule change ploy.
As a result, the NYSE filed the 19b-4 application with the Wall Street securities watchdog on Monday, seeking to list the Bitwise Dogecoin Trust. According to the filing, Coinbase will be the exchange custodian of the Dogecoin Trust, while leading custodian bank BNY Mellon will follow through on cash holdings.
Meanwhile, the NYSE classified the fund as a commodity-based trust share, aligning with the SEC’s disposition toward Dogecoin. Recall that the regulator mentioned earlier that meme coins are not securities and do not fall under its purview.
Dogecoin ETF Gaining Momentum
Interestingly, the Monday filing makes it the third Dogecoin ETF on the SEC’s table. A year ago, asset managers would have deemed such a product far-fetched under the Gary Gensler-led administration.
However, the easing regulatory environment has spurred a barricade of altcoin ETFs with meme coins in the mix. Prominent asset manager Grayscale has filed for and has seen its application for a Dogecoin ETF acknowledged by the US SEC.
Meanwhile, market watchers have grown increasingly confident that the SEC would approve an altcoin spot ETF this year, with the Litecoin, Hedera, and Dogecoin ETFs leading the race.
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