Grayscale Sets 0.35% Management Fee for Spot XRP and Dogecoin ETFs

Grayscale Investments has filed updated S-1 registration statements for proposed spot Exchange-Traded Funds (ETFs) tracking XRP and Dogecoin, disclosing a management fee of 0.35% for both digital assets. This move signals a significant step towards bringing these products to market, as firms increasingly pursue launches without explicit U.S. Securities and Exchange Commission (SEC) approval. The development was highlighted in a recent social media post by "The Wolf Of All Streets," stating, "> "GRAYSCALE FILES UPDATED S-1 FOR SPOT $XRP AND $DOGE ETFS, DISCLOSES 0.35% MANAGEMENT FEE FOR BOTH."

The 0.35% management fee positions Grayscale competitively within the emerging spot crypto ETF landscape. This follows similar actions by other asset managers, with Bitwise, for instance, revealing a 0.34% fee for its proposed spot XRP ETF. These fee disclosures are typically among the final details provided before an ETF can commence trading, indicating an advanced stage in the approval process.

This strategy of advancing ETF launches without direct SEC sign-off leverages recent changes in listing standards and a period of reduced SEC operational capacity. New rules allow S-1 registration statements to become effective automatically after 20 days if they meet listing requirements and do not include delaying amendments. This "fast-track" approach mirrors Grayscale's successful launch of a Solana ETF, which proceeded despite the absence of formal SEC approval.

The push for XRP and Dogecoin ETFs comes amidst a broader trend of expanding crypto investment vehicles beyond Bitcoin and Ethereum. Recent Solana ETF launches by firms like Bitwise and Grayscale have seen strong initial inflows, encouraging further diversification in the crypto ETF market. Industry observers anticipate that the introduction of spot XRP and Dogecoin ETFs could attract substantial institutional investment.

For XRP, the potential ETF launch represents a significant milestone following years of regulatory scrutiny and litigation with the SEC. While Dogecoin's regulatory path has been less contentious, a spot ETF would offer mainstream investors regulated exposure to the popular meme coin. These developments are viewed by some as a "final nail in the coffin" for previous anti-crypto regulatory stances, according to NovaDius Wealth Management President Nate Geraci.

Experts suggest that the first spot XRP ETFs could launch within weeks, depending on final approvals from exchanges like Nasdaq. If successful, the introduction of these new ETFs could usher in a new era for digital asset investment in the U.S., further legitimizing cryptocurrencies for a wider range of investors. The market awaits the final steps that could see these products trading in the near future.