Bitwise will liquidate its Dogecoin ETF in October, ending BWOW trading on October 14 as shareholders prepare for final cash distributions.
Bitwise plans to liquidate its Dogecoin ETF in October, ending the fund roughly 10 months after its launch in 2025. According to the Financial Times, the Bitwise Dogecoin ETF, known as BWOW, is expected to stop trading on NYSE Arca on October 14, 2026. After the final trading session, the fund will cease operations and begin its planned liquidation process.
When Will Bitwise Dogecoin ETF Stop Trading?
On September 10, Bitwise announced that it was liquidating due to product optimization. The decision comes as BWOW has just over $688,000 in net assets, according to the information provided.
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Additionally, October 14 is the anticipated last day of trading for BWOW on NYSE Arca. Shareholders may sell their shares on the secondary market until the trading day is over.
After the market closes, Bitwise will begin the final steps to shut down the fund. The Company has also worked with NYSE to facilitate an orderly delisting and liquidation.
Related reading: DOGE Price Analysis: Cup and Handle Toward $0.10
Meanwhile, Bitwise is set to sell off the Dogecoin portion of the fund on October 14. The new BWOW shares will be halted prior to the market opening on October 15.
As a result, investors will not be able to purchase new shares after that date. However, shareholders can continue holding their shares until the liquidation distribution is completed.
How Will BWOW Shareholders Receive Their Money?
The remaining BWOW shareholders will be paid their proceeds upon liquidation in cash. Bitwise will determine the final value based on the fund’s NAV on October 21.
The company will pay the cash to the remaining shareholders on October 22. Importantly, during this process, shareholders are not required to take any action.
But investors wishing to sell BWOW shares through the secondary market must do so before trading closes on October 14. Subsequently, the fund will no longer be a listed ETF.
The shutdown also serves as a reminder of the challenges for specialty single-asset cryptocurrency ETFs. Dogecoin is a popular digital asset, but there is still a need for a dedicated product to have sufficient assets and trading volume.
This means that smaller crypto ETFs may be under pressure when demand for the ETF is low. These are just some of the issues that BWOW faces in the growing crypto ETF space, given its comparatively small asset size.
What Does the Dogecoin ETF Closure Mean for DOGE?
According to CoinMarketCap, Dogecoin is currently trading in the range of $0.083 to $0.085. The token has also been under pressure in the short term, as it has fallen 2.47% over the past 24 hours.
The impending ETF liquidation is another negative factor that has been weighing on DOGE’s short-term sentiment. But the fund’s closure doesn’t necessarily indicate that Bitwise is exiting the broader digital asset market.
Rather, the company is still working on products in various crypto sectors. Bitwise introduced a real-world asset lending vault on Morpho earlier in September, which was tokenized.
In addition, the company’s move is an indication of a shift in priorities in its product portfolio. With the expansion of the crypto investment market, asset managers can still consider smaller funds if they have demand for it, liquidity, and long-term potential.
October 14 is the most significant date for the BWOW shareholders. The ETF will trade until the market’s close, and the cash will be paid to the remaining shareholders based on the October 21 NAV.
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