Franklin Templeton Investments has filed for regulatory approval to launch a new crypto index exchange-traded fund (ETF), the firm announced Thursday. The move comes as asset managers look to capitalize on growing interest in digital assets following Donald Trump’s victory in the U.S. presidential election.
During his campaign, Trump pledged to position the U.S. as the “crypto capital of the planet” and even proposed accumulating a national Bitcoin reserve.
The Securities and Exchange Commission (SEC), which had long resisted crypto ETFs due to investor protection concerns, approved Bitcoin and Ether ETFs last year. These products have since enabled greater institutional participation in the crypto market.
While firms have sought approval for ETFs based on other cryptocurrencies like Solana and XRP, those applications remain under review.
In its regulatory filing, Franklin Templeton acknowledged current limitations: “The fund currently may not hold any digital asset other than Bitcoin and Ether. It is uncertain whether any digital assets other than Bitcoin and Ether may in the future be added to the Underlying Index.”
This flexibility allows the firm to expand its ETF offerings should the SEC approve additional cryptocurrencies in the future.
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