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06/20 03:02Bullish

Franklin Templeton new ETFs would convert US compa

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Franklin Templeton new ETFs would convert US companies stock dividends into Bitcoin exposure Franklin Templeton’s dividend-funded proposal follows BlackRock’s income-focused Bitcoin ETF as issuers search for the next product category. Franklin Templeton filed two ETFs that would buy US stocks and reinvest dividends into Bitcoin-linked assets. 02The design blends equity exposure with automated Bitcoin accumulation, targeting investors who prefer familiar ETF wrappers over direct crypto. 03SEC approval, fees, tickers, and launch timing remain undisclosed, while tax and Bitcoin volatility risks could force changes. Franklin Templeton, the $1.78 trillion asset management firm, is attempting to push cryptocurrency deeper into conventional investment portfolios with a new proposal that would automatically redirect stock dividends into Bitcoin exposure. On June 18, the asset manager filed paperwork with the US Securities and Exchange Commission (SEC) to launch two exchange-traded funds that would hold US equities while filtering corporate payouts into digital asset investments. The proposed funds, the Franklin US Equity Bitcoin DRIP Index ETF and the Franklin US Innovation Bitcoin DRIP Index ETF, would combine one of Wall Street’s most established practices, dividend reinvestment, with exposure to the world’s largest cryptocurrency. The structure would give investors a primary base in large US stocks while using income generated by those companies to slowly accumulate Bitcoin-linked assets. That design avoids requiring investors to make a direct upfront allocation to crypto, instead building the position over time through a rules-based mechanism. This filing reflects how major financial institutions are looking beyond standard spot Bitcoin funds and toward more complex portfolio products.
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