Institutional interest in Dogecoin has been on the rise over the last few years, especially with the filing of multiple Dogecoin Exchange-Traded Funds (ETFs). This has essentially taken DOGE, which began as a joke, from the realm of a meme into more serious territory with the likes of Solana and XRP. House of Doge, the corporate arm of the Dogecoin Foundation, has highlighted this rising institutional interest, revealing the drivers behind this attention.
Why Institutions Are Watching More For Dogecoin
House of Doge outlines four major reasons why institutions are now watching Dogecoin more and more. These reasons have taken it from being a meme coin driven purely by hype from the community to a cryptocurrency that is being propelled forward by its growing utility.
The first out of these reasons outlined by House of Doge is the fact that institutions are now realizing that they could gain exposure to the cryptocurrency through the Exchange-Traded Products (ETPs) and Exchange-Traded Funds (ETFs.)
So far, there have been three Dogecoin filings with the Securities and Exchange Commission, with the REX-Osprey DOJE already live. According to data from The Block website, the DOJE ETF is currently trading at $24.29 at the time of this writing, with an AUM (assets under management) of almost $25 million. Other filings, such as the Grayscale Dogecoin Trust conversion to an ETF and the Bitwise Dogecoin ETF, are still pending and awaiting a decision by the SEC.
In addition to the ETPs and ETFs, House of Doge also listed that the possibility of diversification is keeping institutions interested. Dogecoin could provide an avenue for more crypto exposure besides just the widely accepted Bitcoin and Ethereum.
Third on the list is the rising utility adoption of DOGE, which mostly manifests in payments and merchants. Due to its very low fees and high supplies, using DOGE as a payment method has been on the rise, especially with billionaire Elon Musk pushing the meme coin and eventually accepting it for payments for Tesla merchandize.
Fourth and last on the list is the community and on-chain performance of Dogecoin. Despite the crypto market having a hard time, the Dogecoin community has remained strong, boasting over 4.4 million followers on X, and on-chain participation remains high.
Given these developments, DOGE has been climbing on the radar of institutional investors. “At House of Doge, we’re building the bridges so institutions don’t just watch, they participate,” the post further stated.
Featured image from Dall.E, chart from TradingView.com
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