Franklin Templeton files for two ETFs that invest in bitcoin using corporate dividends
Franklin Templeton has filed for two exchange-traded funds that use corporate dividends to buy exposure to bitcoin.
The proposed ETFs, Franklin US Equity Bitcoin DRIP Index ETF and Franklin US Innovation Bitcoin DRIP Index ETF, will maintain an allocation of 95% in U.S. equities and 5% in bitcoin.
The structure allows for an automatic, low-maintenance 5% bitcoin feed funded entirely by equity dividends, with the potential to begin trading as early as September.
The filings follow the recent debut of BlackRock’s Income ETF, which allows institutions to monetize cryptocurrency’s volatility, and the 11 spot bitcoin ETFs in the U.S. have pulled in more than $53 billion