Dogs dig their beds due to natural instincts, but make sure his dog bed is truly comfortable.
Canine Instinct.
A bit of digging of his dog bed before going to sleep is a very normal thing and it most probably stems from natural instincts. Wild Canines will sleep in dens under ground, in caves or under fallen tree trunks. They don't collect nesting materials like some mammals do, so where they lie is not necessarily very comfortable. So they dig! They dig until it seems bearable to lie down. This is a habit that some of our dogs still carry with them no matter how perfect their dog bed is in terms of comfort.
Some Funny Limitations in Dogs and their Dog Beds.
If you watch your dog in his dog bed you will find an odd thing about his ability to arrange his bed. Say there is a bone or a hard toy lying in the middle of the bed, your dog does not have the mental capacity to pick it up and chuck it out of the bed. He will always simply try and maneuver himself round the object, often ending up in an uncomfortable situation. Bright and intelligent as dogs are, this is just something they struggle with. This might explain their pointless digging when we see them dig in a comfy bed. At some point the hard toy in the middle might ping somewhere, but dogs can't place it.
Your Dog Might feel Uncomfortable.
Having said that digging is just a habit that stems back to wild instincts, there could be other reasons, however. If you have given him a dog bed that is too thin or too lumpy, he will obviously try to do something to get more comfortable. As dogs find it impossible to approach the problem with logic, their only idea is to just dig. I have seen dogs digging a thin blanket round and round because it is clearly not enough to sleep on. Again, a dog is incapable of arranging a sleeping area logically and get the blanket sorted out. They end up digging silly till they give up. The solution is without a doubt to provide a good quality dog bed with an orthopaedic mattress for comfort and support. You might place a loose blanket in the bed for your dog to dig around, which satisfies his instincts.
Problem-Digging.
The last little thing to just keep an eye on is digging due to other issues. Check your dog's paws for irritation. He might have been stepping in nettles and have itchy paws. He could also have an allergy, making his skin and paws itchy. Check for redness and see if he is licking his paws more than normal. You might need to see a vet if this is the case.