Bitwise closes Dogecoin ETF, a warning that ETF access isn’t demand

Bitwise will be discontinuing its Dogecoin ETF in October, not long after trading began, which indicates that while gaining regulatory approval and access to brokerage firms is a step forward, it is not an assurance that there will be a sustainable demand for a crypto fund that deals with only one token.

The more significant indication is the division between altcoins that still manage to draw ETF investments and those whose ecosystems are still focused on crypto-centric channels. Bitwise is now positioned both ways: BWOW is winding down, while its Hyperliquid ETF has attracted a much higher level of interest.

A late-October wind-down for BWOW

According to a Form 8-K that was filed with the SEC, Bitwise Investment Advisers reported to NYSE Arca regarding the decision to voluntarily close, delist and liquidate the Bitwise Dogecoin ETF (NYSE: BWOW). Trading is expected to cease on October 14.

As for the investors who still hold BWOW after its liquidation, no further action will be required from their part. The remaining shares will be redeemed for cash based on the fund’s net asset value as of October 21. Distributions of that cash are expected to take place around October 22. The SEC filing also notes that those distributions will be taxable events.