Global investment giant Franklin Templeton has filed for approval from the U.S. Securities and Exchange Commission (SEC) to launch a new cryptocurrency index exchange-traded fund (ETF) that would track the performance of Bitcoin and Ethereum. The proposed ETF, named the “Franklin Crypto Index ETF,” aims to provide investors with diversified exposure to the digital assets market, drawing on Franklin Templeton’s established reputation in institutional finance.
Filed on August 16, the ETF would initially focus on Bitcoin and Ethereum, with the possibility of expanding to include other digital assets in the future, pending regulatory approval. The fund’s digital assets will be held by Coinbase Custody Trust Company, while Bank of New York Mellon will manage cash holdings and act as the fund’s administrator and transfer agent.
If the SEC grants approval, the Franklin Crypto Index ETF will be listed on the Cboe BZX Exchange under the ticker symbol “EZPZ.” The filing also notes that the Cboe is awaiting regulatory clearance to facilitate the in-kind creation and redemption of shares using digital assets.
Franklin Templeton joins other financial firms in the race to offer crypto index ETFs. Earlier, in June, Hashdex applied to launch the Hashdex Nasdaq Crypto Index US ETF, which aims to be the first U.S.-based dual Bitcoin and Ethereum ETF. The SEC recently extended its decision on Hashdex’s application to September 30.
The move by Franklin Templeton reflects growing institutional interest in digital assets, particularly Bitcoin and Ethereum. Despite recent fluctuations in Bitcoin’s price, the filing underscores a broader trend among traditional financial institutions to incorporate digital assets into diversified investment portfolios.
Franklin Templeton has been increasingly active in the crypto space, having launched a spot Bitcoin ETF in the U.S. on January 10 and securing approval for an Ethereum ETF in May. The firm also plans to introduce a new crypto fund that will invest in a broader range of digital assets beyond Bitcoin and Ethereum.
As Franklin Templeton seeks to expand its presence in the burgeoning digital assets sector, the approval of its crypto index ETF could open up new investment opportunities for both institutional and retail investors, further integrating cryptocurrency into mainstream financial markets.
