U.S. to Launch First XRP and Dogecoin ETFs, Advancing Altcoin Investment Access
Two new exchange-traded funds (ETFs) focused on altcoins are set to debut in the United States this week, signaling increased regulatory openness to cryptocurrency investment products. The REX-Osprey XRP ETF, trading under the ticker XRPR, is scheduled to begin trading on Friday, pending no further delays. This ETF will provide investors with direct spot exposure to XRP, currently the third-largest cryptocurrency by market capitalization.
The REX-Osprey XRP ETF has successfully passed the Securities and Exchange Commission’s (SEC) 75-day review period and benefits from approval under the Investment Company Act of 1940. This regulatory framework offers a more streamlined approval process compared to the Securities Act of 1933, which is typically applied to spot Bitcoin ETFs. Under the 1940 Act, the fund launches automatically after 75 days unless the SEC raises objections.
Nate Geraci, President of Nova Dius, noted that this launch will serve as an important indicator of demand for spot XRP ETFs under the 1933 Act, remarking that futures-based XRP ETFs are already approaching $1 billion in assets under management.
Dogecoin ETF Launch Expected Thursday
Alongside the XRP ETF, the REX-Osprey Dogecoin ETF, ticker DOJE, is set to launch on Thursday. Bloomberg ETF analyst Eric Balchunas confirmed the timing and highlighted that this will mark the first U.S. ETF dedicated to a memecoin. Like the XRP ETF, the Dogecoin fund has been approved under the 1940 Act.
REX-Osprey previously launched the Solana staking ETF (SSK) in July, though investor interest has been modest, with assets under management totaling approximately $274 million and minimal inflows in recent trading days. Additionally, REX-Osprey has filed for a Binance Coin (BNB) staking ETF, indicating ongoing expansion in altcoin ETF offerings.
Growing Pipeline of Altcoin ETFs Awaits SEC Decisions
Despite these launches, the broader market awaits regulatory clarity on numerous other crypto ETFs. As of late August, more than 90 crypto exchange-traded products remain under SEC review, according to Bloomberg ETF analyst James Seyffart.
Recent filings include Canary Capital’s Litecoin ETF, with an SEC decision expected in early October, and Bitwise’s spot Avalanche (AVAX) ETF, alongside filings from VanEck and Grayscale. However, the SEC has delayed rulings on Bitwise’s Dogecoin ETF and Grayscale’s Hedera ETF, extending the deadline to November 12, underscoring the cautious regulatory environment.
FinOracleAI — Market View
The imminent launches of the XRP and Dogecoin ETFs represent a positive development for altcoin market accessibility and investor participation in the U.S. regulatory landscape. The streamlined approval under the 1940 Act reduces uncertainty and could pave the way for further spot altcoin ETFs. However, the SEC’s ongoing delays for other crypto ETFs highlight persistent regulatory risks. Market participants should monitor inflows into these ETFs and subsequent SEC decisions on pending filings to gauge broader institutional acceptance.
Impact: positive
