DOJE ETF Uses 1940 Act Loophole to Beat SEC, Launch First Dogecoin Fund

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REX Shares and Osprey Funds are set to launch the first US Dogecoin ETF this Thursday by navigating a different regulatory route than their competitors.

While the SEC delayed Bitwise’s application for a similar product, the DOJE ETF is structured under the Investment Company Act of 1940.

This decades-old law, which regulates pooled investment funds, has provided a pathway to market without requiring the same specific SEC approval for a “rule change” that has stalled other crypto ETFs.

The fund will gain its Dogecoin exposure through a subsidiary in the Cayman Islands. The launch highlights the creative legal strategies issuers are using to bring crypto products to market amid regulatory hesitation.