The inaugural U.S. exchange-traded fund linked to Dogecoin experienced a significant surge on September 18, with nearly $6 million in trading volume within its first hour of trading, showcasing a strong start for a new crypto-related product.
According to data from Bloomberg, the REX-Osprey Doge ETF, listed as DOJE, achieved a turnover of $5.8 million before noon. In comparison, most ETFs typically witness less than $1 million in volume on their initial day of trading.
Bloomberg analyst Eric Balchunas, who had set an informal benchmark of $2.5 million for the launch, noted that the outcome exceeded expectations.
At the time of writing, Dogecoin was valued at $0.281, marking a 4.45% increase after retracting some of the day’s gains.
This debut joins a wave of crypto ETFs entering the market as issuers seek to capitalize on investor interest in digital assets in regulated forms.
Unlike previous spot Bitcoin ETFs introduced under the 1933 Securities Act, $DOJE was registered under the Investment Company Act of 1940, which some believed might have tempered enthusiasm. However, the initial trading activity indicated strong retail demand.
As a sign of ongoing expansion, REX Shares filed paperwork on the same day for a “DOJE Growth and Income ETF,” while fund group Tidal Financial submitted applications for leveraged crypto index ETFs in collaboration with Quantify Chaos.
The new filings comprise 2X leveraged funds targeting altcoins, one excluding solely Bitcoin and the other excluding both Bitcoin and Ethereum. These funds are tailored to capture “alt seasons” when smaller tokens outperform.
The influx of products demonstrates Wall Street’s increasing adoption of crypto assets despite recent market fluctuations.
Whether DOJE can maintain its initial momentum remains to be seen, but its debut session firmly established its presence in an ETF market that has witnessed numerous lackluster launches.
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