- Franklin Templeton filed for two new bitcoin-focused ETFs.
- Stock dividends would automatically be reinvested into bitcoin.
- The funds would begin with roughly 5% bitcoin exposure.
- Launch could happen as early as September.
Asset management giant Franklin Templeton has filed paperwork for two new exchange-traded funds that would automatically direct stock dividend payments into bitcoin investments.
The proposed products would track large-cap U.S. stock indexes while maintaining a bitcoin allocation. Instead of paying dividends directly to investors, those dividends would be used to increase bitcoin exposure within the funds.
The strategy would start with approximately 95% invested in traditional equities and 5% allocated to bitcoin-related products. The bitcoin allocation could increase over time but would remain subject to predefined limits.
Franklin plans to gain bitcoin exposure through spot bitcoin ETFs, futures contracts, options, and other approved investment vehicles.
The filing represents another step in the firm's growing digital asset strategy. Franklin already operates a spot bitcoin ETF and has expanded its involvement in tokenized assets, stablecoins, and blockchain-based financial products.
If approved, the new ETFs could begin trading as early as September 2026.
