Dogecoin holders celebrate ‘Dogeday’ 4/20 as ETF decision draws near

Dogecoin holders celebrated Dogeday on April 20th, a date significant to the memecoin community. This unofficial holiday, gaining traction in 2021, coincides with the April 20th date associated with cannabis culture.

Despite its origins as a joke token, Dogecoin remains the eighth-largest cryptocurrency by market capitalization, currently valued at $23.3 billion (according to CoinMarketCap). However, its tokenomics, which introduce 14.4 million new DOGE daily, resulting in significant inflation, have drawn criticism.

Anndy Lian, author and intergovernmental blockchain expert, attributes Dogecoin's enduring popularity to a combination of community enthusiasm, low barriers to entry, and speculative appeal. He further suggests that the inflationary nature of Dogecoin, adding approximately 5 billion coins annually, contributes to its accessibility and retail appeal, keeping prices generally below $1. This, coupled with its meme-driven branding, resonates strongly with younger, digitally savvy investors.

Memecoins like Dogecoin, lacking inherent blockchain utility, primarily rely on social media momentum and retail speculation for price movements. In November 2024, Dogecoin's market capitalization even briefly surpassed that of Porsche, fueled by continued endorsements from Elon Musk.

Dogecoin Community Awaits ETF Decisions

The Dogecoin community eagerly awaits decisions from the US Securities and Exchange Commission (SEC) regarding several pending DOGE-related exchange-traded fund (ETF) applications. Four applications are currently under review: Bitwise Dogecoin ETF, Grayscale Dogecoin ETF, 21Shares Dogecoin ETF, and Osprey Fund Dogecoin ETF.

Grayscale's application is awaiting a response by May 21st, following a SEC delay. Bitwise's filing's initial review period concludes May 18th, although a longer review period could extend the decision until October 2024. The 21Shares and Osprey applications remain under review, with no defined deadlines.