Jenny Johnson, the CEO of Franklin Templeton, is said to have made personal investments in cryptocurrencies, such as ether, bitcoin, and Sushi Swap governance tokens.
According to Johnson, those investments are “small for my overall portfolio,” as stated in an interview that Fortune published on Saturday. Johnson appears to have disclosed her cryptocurrency holdings for the first time in public.
On the other hand, Johnson doesn’t seem to be a big fan of non-fungible tokens. Not all NFTs make sense from a personal investment standpoint, she said, expressing a preference for more established investments with transparent financial returns.
“I tend to make investments in things that I think are anchored in having financial returns, because I think that you have better chances of success there,” she stated. Certain things are similar to If two people are in love with an artwork, they will find a market price for it in an NFT. There will therefore be opportunities in that area. There will be some who succeed, even though not everyone will be happy or successful.”
Johnson on the approval of a bitcoin ETF
With over $1.3 trillion in assets under management, Franklin Templeton applied to the Securities and Exchange Commission in September to launch a spot bitcoin exchange-traded fund. One spot bitcoin ETF has not yet received SEC approval. When asked when the regulator might approve a product of that kind, Johnson responded that she was unsure of the approval schedule but that they should approve it eventually as they are currently figuring out the best course of action.
Approved spot bitcoin ETFs have been requested by a number of asset managers, such as Fidelity and BlackRock. Johnson stated that “there’s obviously a demand for bitcoin, and I believe a spot ETF is a better way to access bitcoin.”
About democratizing private markets through blockchain, Johnson
Blockchain technology has been actively investigated and adopted by Franklin Templeton. It introduced a tokenized money market fund and separately managed accounts with a cryptocurrency focus in 2021. It can also validate blockchain nodes. Franklin Templeton is a “big believer” in the cryptocurrency and blockchain space, according to Johnson’s comments in the interview.
Among other things, Johnson claimed that blockchain technology will make it possible for private markets to become more democratic. This is as a result of the technology eliminating transaction processing’s frictional costs. Also, if you can lessen the resistance It is easier to securitize or fractionalize ownership of items in transactions that would have been operationally impossible to consider, the speaker stated. “Instead, you’re able to create and transfer ownership of these hard-to-process assets much easier.”