Could Dogecoin Be the First Memecoin to Get a Spot ETF?

In the race to secure a spot ETF, various altcoins have intensified their efforts following the approval of Bitcoin and Ethereum spot ETFs. Speculation is rife regarding whether Dogecoin (Doge), the largest meme coin by market capitalization, will make its debut on Wall Street.

Experts suggest that while regulatory hurdles remain, the evolving ETF landscape may soon pave the way for a Dogecoin ETF.

Dogecoin: A Potential Candidate for Spot ETF

Industry experts believe Dogecoin ($DOGE) possesses unique potential for a spot ETF, despite currently lacking certain SEC requirements. Unlike Bitcoin and Ethereum, Dogecoin lacks a regulated futures market, a key factor typically considered by the SEC for ETF approvals.

Regulatory Changes May Favor Dogecoin ETF

Analysts anticipate that shifting dynamics within the SEC could reshape regulatory standards, potentially easing Dogecoin's path to a spot ETF.

Bitwise Strategist's Perspective

Juan Leon, Bitwise strategist, acknowledges that securing approval for a Dogecoin ETF under current regulations would be challenging. He notes the SEC's requirements for a regulated futures market and substantial spot market liquidity for digital assets. Dogecoin's current status falls short of these qualifications.

ETF Industry's Evolution

Eric Balchunas, a senior ETF analyst at Bloomberg, emphasizes the experimental and evolving nature of the ETF industry. This allows for assets like Dogecoin to be considered for ETF offerings, despite initial challenges.

SEC's Gradual Acceptance

The SEC's past decisions and gradual approval of ETFs for other cryptocurrencies indicate a shift toward greater acceptance of digital assets in traditional financial markets.

Dogecoin's Popularity and Community Support

Analysts suggest that Dogecoin's widespread popularity and strong community support could bolster its case, particularly as the SEC responds to growing interest in digital assets from both retail and institutional investors.