Franklin Templeton Files for Spot Bitcoin Exchange Traded Fund
Global investment firm Franklin Templeton has submitted a filing for a spot bitcoin ETF with the U.S. Securities and Exchange Commission (SEC). This move places Franklin Templeton alongside industry giants like BlackRock and Fidelity in the race to launch the first bitcoin ETF.
Key Takeaways
- Franklin Templeton, a renowned asset manager with $1.45 trillion in assets, has filed for a bitcoin ETF with the SEC.
- Coinbase will serve as the custodian for the fund’s bitcoin holdings, with pricing based on the Chicago Mercantile Exchange’s reference rate.
- Similar applications for spot bitcoin ETFs have been made by other financial heavyweights like BlackRock and Fidelity.
The Bitcoin ETF filing by Franklin Templeton mirrors recent filings by major players in traditional finance. Coinbase is designated as the custodian for the fund’s bitcoin holdings, while the ETF is set to trade on Cboe BZX Exchange using the CME’s CF Bitcoin Reference Rate.
Franklin Templeton’s foray into creating a bitcoin ETF, despite managing $1.45 trillion in assets, marks its first such product. CEO Jenny Johnson’s perspective on bitcoin and blockchain innovation adds depth to the significance of this move.
Spot Bitcoin ETFs Prospects
Following BlackRock’s initiation of new spot bitcoin ETF filings, anticipation has surged toward the potential approval of these ETFs. Industry attention has heightened given BlackRock’s stature within the U.S. financial landscape. Fidelity and VanEck have also submitted similar applications, with SEC decisions on these ETFs and others postponed until October.
Digital asset firm Grayscale recently secured a win in their appeal regarding the SEC’s rejection of converting the Bitcoin Investment Trust into an ETF. While this court decision prompts the SEC to clarify its refusal, it doesn’t guarantee approval for such transitions or other ETFs.
SEC Chair Gary Gensler’s comments on the Grayscale ruling demonstrate ongoing deliberations within the regulatory body on bitcoin exchange-traded products, underscoring the evolving landscape of cryptocurrency investments.