21Shares Files a 19b-4 Form with the SEC to Launch a Dogecoin (DOGE) Exchange-Traded Fund (ETF)

In a significant development, Nasdaq submitted a 19b-4 form to the U.S. Securities and Exchange Commission (SEC). The 21Shares Dogecoin (DOGE) Exchange-Traded Fund (ETF) is presented through this filing for SEC approval to obtain listing status.

Nasdaq submitted a 19b-4 form to the U.S. Securities and Exchange Commission (SEC) for the 21Shares Dogecoin (DOGE) Exchange-Traded Fund (ETF), presenting it for approval to gain listing status.

This filing follows the SEC’s decision to extend its review of the proposed Dogecoin ETF by Bitwise until June 15, while continuing its assessment of the 21Shares Dogecoin ETF proposal.

The filing states that the 21Shares Dogecoin ETF operates as a passive fund product. It refrains from using any leverage or derivatives, along with all speculative trading methods. The fund serves as a passive tracker of Dogecoin’s performance, relying on the CF DOGE-Dollar U.S. Settlement Price Index to determine its net asset value.

This Trust is designed to closely replicate the market value movements of Dogecoin. To calculate the fund’s performance, they deduct any fund expenses and liabilities from the CF DOGE-Dollar U.S. Settlement Price Index at the start of each day. Despite not directly holding the asset, investors will gain exposure to Dogecoin’s price through this fund.

As stated in the filing, the entire backing of the ETF is funded by actual Dogecoin, which is deposited in an account at Coinbase Custody Trust Company LLC, the company assigned as the official custodian of these assets. This ensures that the parties involved in Dogecoin’s operations will not interact with the cryptocurrency directly. The “Dogecoin Counterparty” will handle trading in DOGE when customers purchase or redeem shares of this particular ETF.

Furthermore, the Trust explicitly declares that it will not engage in any activity to generate a crypto-economic reward. The Dogecoin held by the Trust will remain in its possession, and the Trust will not use the cryptocurrency for lending or other ventures to generate revenue. Overall, the fund operates without any extra risks and maintains a focused approach to its main goal.

The document also details the regulatory framework of the ETF. The Trust does not meet the registration requirements stipulated by the Investment Company Act of 1940 for investment companies. Additionally, the fund does not fall under the definition of commodity pools as defined in the Commodity Exchange Act of 1936. Consequently, the fund operates outside the jurisdiction of the Commodity Futures Trading Commission, and its sponsor is not classified as a commodity trading advisor.

Meanwhile, Nasdaq will ensure that the ETF adheres to all existing trading rules governing its platform. At least forty thousand shares of the ETF will be prepared and ready for trading to proceed with listing on the exchange. The ETF will fall under the regular surveillance of Nasdaq’s monitoring systems, similar to other exchange-listed securities. This surveillance system is designed to halt any attempts at market manipulation.

To strengthen its proposal, the Nasdaq company highlights its membership in the Intermarket Surveillance Group (ISG) with other exchange networks. This will enable them to engage in automated information-sharing capabilities to help identify any unusual market activities. The system enhances market oversight functions and provides better protection for investors.

Earlier this year, the European market saw the arrival of exchange-traded products (ETPs) based on Dogecoin when 21Shares joined forces with the House of Doge to launch these ETPs on the Deutsche Börse in Germany. For its part, the Dogecoin Foundation announced that the 21Shares ETPs are the only investment products to receive official approval from the Dogecoin Foundation. Due to this official Dogecoin endorsement, these products are deemed the most secure options for investing in Dogecoin within the market.

The cryptocurrency management company, 21Shares, is based in Switzerland and is known for introducing several crypto ETF products, which are expected to launch later in 2025. The company is also exploring the development of ETF funds that would include products for Solana and XRP, along with various other alternative cryptocurrencies.

Institutional investor interest in digital assets continues to grow. As cryptocurrencies gain broader acceptance among conventional financial institutions, the entry of the 21Shares Dogecoin ETF into the market could mark a transformative moment. The approved status will provide a safe framework for investors to gain exposure to Dogecoin through a regulated avenue.