🚀 DOGE & XRP ETFs are almost here

Two community favorites are set to test the ETF appetite of US investors this week. 

Rex-Osprey is bringing XRP and DOGE to the American consumers – packaged in a never-before-seen way under the ticker DOJE and XRPR respectively. Eric Balchunas from Bloomberg says that we could see DOJE listing as soon as Thursday, while XRPR is aiming for Friday.

Why is this time any different?

• This is the first time we are seeing ETFs giving direct exposure to Altcoins

• DOJE will be the first memecoin ETF to hit the markets

• Future based XRP ETFs and ETPs already exist and have drawn $1 Billion in inflows already but Res-Osprey aims to provide direct exposure to the underlying assets.

But wasn't the SEC delaying ETFs? Yes. While many issuer are waiting for the green signal from the SEC, Rex-Osprey sort of jumped the queue.

How did they jump the line?

Instead of filing under the Securities Act of 1933 (33 Act), which requires explicit SEC approval, similar to the long road Bitcoin and Ethereum ETFs had to take, REX-Osprey used the Investment Company Act of 1940. (40 Act)

The 40 Act framework is usually reserved for mutual funds and traditional ETFs. But here’s the trick: under the 40 Act, products automatically become effective once the review clock runs out. It doesn’t need an SEC vote and hence no delays.

Fox Business’ Eleanor Terrett called it “basically a spot ETF with extras,” since 40 Act funds carry more investor protections and restrictions but sidestep the usual delays.

These products will be a good test for not the crypto market but the ETF market in general.

Why? Because retail investors in the U.S. can already buy XRP or Dogecoin directly on exchanges and self-custody them. So why opt for an ETF?

Well easier tax and portfolio management do make ETFs a more convenient option.

Crypto or ETF, Which one would you choose and why? 

Reply on this email, the best answer will be featured in one of our upcoming editions.

When the companies thought they found the glitch in the matrix, the markets gave them a reality check.

The “Strategy” is simple: announce a BTC treasury and your stock goes to the moon.

That was the playbook when a healthcare company turned itself into a Bitcoin holdings company (to some extent).

During Monday's trading session, KindlyMD (Nasdaq: NAKA) fell 55.4%, closing at $1.24. The stock price fell 96% from its peak and is at its lowest trading level since February.

According to Yahoo Finance, trading volume jumped to over 89 million shares, the most since a late-session rally on February 12 that saw 219 million shares exchanged.

CEO David Bailey cautioned NAKA shareholders that the stock price would drop in the next few days and urged them to exit if they couldn't weather the storm in a letter to shareholders posted on X late Monday.

But what was the trigger? BTC treasury exposure? Well, not exactly.

A PIPE deal was the real culprit. Investors who got discounted shares were free to dump them on September 16. (and they dumped hard)

Here’s the irony: the very strategy that was supposed to make KindlyMD attractive has left it exposed. PIPE funding triggered a rally but the fundamentals and planning clearly lacked the grit needed for sustained momentum. Traders were quick to react. Now, instead of being valued like “the next MicroStrategy,” it risks Nasdaq compliance warnings.

• Gemini shares tank 6%, extends post-IPO slump to 24%

• Fed Chair Powell’s tone and yield curve to steer market reaction to Fed rate cut

• Polygon to increase transaction capacity on growing demand for stablecoins

• Bitcoin’s illiquid supply predicted to hit 8.3M by 2032

• BYD stock loses $45 billion in value amid rising doubts over China EV dominance

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