- TRUMP coin sparks regulatory filings for seven meme coin ETFs, including DOGE and BONK.
- REXShares and Osprey Funds aim to launch the first TRUMP coin-focused ETFs.
- The SEC has formed a crypto task force as ETF filings surge.
The meme coin frenzy has taken a new turn, with seven cryptocurrency ETFs targeting viral tokens like TRUMP, DOGE, and BONK entering the race. Major investment firms are competing to capitalize on the growing interest in meme coins, pushing these digital assets into the regulated financial ecosystem.
REX Advisers, the parent company of REXShares, and Osprey Funds jointly filed with the U.S. Securities and Exchange Commission (SEC) to launch a range of cryptocurrency ETFs. These products aim to bridge the gap between the unregulated crypto space and the world of traditional finance, catering to investors eager to ride the meme coin wave.
Related: ProShares Files for XRP ETFs on Gensler’s Final Day as SEC Chair
TRUMP Token’s Turbulent Path to ETF Inclusion
The TRUMP token, launched on the Solana blockchain, has faced a volatile journey. After debuting on January 17 with a 600% price surge, the token reached a peak of $33.78. However, the euphoria was short-lived as TRUMP’s market cap lost over $5 billion within days.
Industry analysts see the inclusion of TRUMP token in ETFs as a risky move. While DOGE and BONK boast established communities, to bet on $TRUMP’s success beyond the draw of its namesake is something smart traders would be wary of.
Ripple and Solana ETFs Reflect Broader Adoption
The ETF filings extend beyond meme coins. REX and Osprey aim to include Solana (SOL) and Ripple’s XRP in their offerings, signaling a broader strategy to integrate major cryptocurrencies.
Teucrium, a firm known for its expertise in commodity ETFs, has filed for leveraged and inverse XRP ETFs. Similarly, Calamos plans to launch downside-protected Bitcoin ETFs, offering innovative ways for investors to manage crypto volatility.
These developments follow the success of Bitcoin and Ethereum ETFs, which have drawn interest from institutional investors like pension funds, including the State of Wisconsin Investment Board and Michigan.
As more legacy financial firms venture into crypto ETFs, the SEC, now led by Acting Chair Mark Uyeda, has formed a crypto task force to address the evolving challenges in the sector.
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