Franklin Templeton, a major U.S. asset manager with $1.6 trillion in assets under management, is reportedly considering the launch of a new crypto-focused investment fund, according to a recent report from The Information. The fund, structured as a private vehicle targeting institutional investors, would offer exposure to a variety of cryptocurrencies beyond bitcoin (BTC) and ether (ETH).
Staking Rewards and Institutional Focus
In addition to broadening its investment focus, Franklin Templeton is also exploring the potential to pass staking rewards on to the fund’s investors. This approach aligns with the company’s growing interest in the digital asset industry and its efforts to offer diversified crypto and tokenized asset investments to its clients.
Diversifying into Digital Assets
Franklin Templeton’s move into the digital asset sector is part of a broader trend among traditional finance institutions. The asset manager started a spot bitcoin exchange-traded fund (ETF) in the U.S. earlier this year and has applied to list a similar offering for ether. Additionally, in 2021, the company launched a tokenized U.S. government bond fund using the Stellar (XLM) network, preceding BlackRock’s similar venture.
This expansion into cryptocurrency and tokenized assets underscores Franklin Templeton’s commitment to exploring innovative investment opportunities in the digital asset market.
