The cryptocurrency investment landscape reached a new milestone on January 22, 2025, as 21Shares launched the first spot Dogecoin (DOGE) exchange-traded fund (ETF) to receive explicit approval from the U.S. Securities and Exchange Commission (SEC). Trading on the Nasdaq under the ticker symbol TDOG, the product is backed by the Dogecoin Foundation and represents a significant step in bridging meme culture with mainstream finance.
This launch marks the third spot DOGE ETF to enter the U.S. market, following products from Grayscale and Bitwise that launched in November 2024 via an automated process without explicit SEC approval. The 21Shares ETF is distinguished as the first and only to have gained the endorsement of the Dogecoin Foundation, the nonprofit that has overseen the token's decentralized development since 2014.
The SEC's approval is particularly notable as it effectively concludes, for the first time, that Dogecoin is not a security. This decision followed extensive dialogue between 21Shares, the Dogecoin Foundation, and regulators, and considered factors such as market surveillance agreements, proof of adequate liquidity, and verification of secure custody arrangements.
The physically-backed fund holds actual Dogecoin tokens in institutional-grade custody, allowing both retail and institutional investors to gain exposure to DOGE's price movements without managing private keys or using crypto exchanges. Duncan Moir, President of 21Shares, told Decrypt he expects the product to appeal principally to younger, affluent traders who want crypto exposure but invest broadly through traditional brokers.
Market impact was immediate, with DOGE trading volume increasing approximately 40% in the 24 hours following the news. The ETF launched with an initial assets under management (AUM) of $250 million, and market experts project it could attract $1-2 billion within its first year. The launch is part of a broader push by the Dogecoin Foundation's corporate arm, House of Doge, to evolve Dogecoin from a meme into a global payment rail.
