21Shares Submits Sixth Amendment for Dogecoin ETF

21Shares has submitted another revised registration document with the U.S. Securities and Exchange Commission for its proposed Dogecoin ETF, indicating its determination to launch the fund despite lackluster performance in the current DOGE ETF market.

This latest filing marks the sixth amendment to the Form S-1 registration statement. The cryptocurrency ETF provider has maintained essential offering details, such as a 0.5% management fee, and intends to list the fund on Nasdaq using the ticker symbol ‘TDOG’. Coinbase has been chosen as the custodian for the trust’s digital assets.

In preparation for trading, 21Shares plans to acquire $1.5 million worth of Dogecoin. The company has not disclosed any fee reduction strategies to compete with existing rivals Grayscale and Bitwise, both of which offer their own Dogecoin ETFs.

The registration statement contains a standard clause specifying that the fund cannot commence operations until 21Shares submits another amendment to make it effective under Section 8(a) of the Securities Act of 1933, or until the SEC declares the registration effective. This procedural step is common for all ETF launches.

Having already introduced major cryptocurrency ETFs this year for Solana and XRP, 21Shares is looking to expand its offerings with a proposed Dogecoin ETF. If successful, this ETF would be the company’s fifth fund, providing direct spot exposure to a digital asset.

Despite the potential of a new Dogecoin ETF, existing ETFs tracking DOGE have shown weak market demand since their inception in late November. Data indicates that these funds experienced eight consecutive days of zero inflows from December 11 onwards.

Performance metrics reveal that out of 20 trading days post-launch, the DOGE ETFs only saw positive net inflows on five occasions. Together, Grayscale and Bitwise ETFs have accumulated a total net inflow of $2.05 million, with Grayscale’s fund showing $3.03 million in net inflows and Bitwise facing net outflows of nearly $1 million.

Daily trading volumes for both funds consistently fall below the $1 million mark, indicating minimal market activity. This lackluster performance reflects broader challenges Dogecoin has faced, with the meme cryptocurrency’s value dropping more than 6% in the last month and over 58% year-to-date.

With DOGE currently trading around $0.1300, representing a 2.61% decrease in the past 24 hours, the lack of investor interest in meme coin investment products raises concerns about the demand for these assets. In contrast, Bitcoin and Ethereum ETFs experienced significant inflows during their initial trading periods, highlighting the distinct reception Dogecoin ETFs have received compared to more established cryptocurrencies.