Franklin Templeton seeks approval for Bitcoin, Ether crypto index ETF

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Global investment firm Franklin Templeton has filed an S-1 registration form with the US Securities and Exchange Commission (SEC) for a crypto-index ETF that will track the performance of Bitcoin and Ethereum.

According to an Aug. 16 filing, the fund, called the “Franklin Crypto Index ETF,” aims to give investors a diversified entry into the world of digital assets while benefiting from Franklin’s renowned institutional backing.

The ETF will focus exclusively on the two largest digital assets, as stated in the filing. However, if other digital assets are added to the index in the future, Franklin will adjust the fund structure accordingly, subject to regulatory approval.

Coinbase Custody Trust Company has been appointed as the custodian of the fund’s digital assets. Bank of New York Mellon will handle the cash holdings and serve as the trustee and transfer agent of the fund.

If approved, the fund will be listed on the Cboe BZX Exchange and trade under the symbol “EZPZ”. The filing noted that Cboe is currently awaiting regulatory approval to allow the creation and in-kind redemption of shares using digital assets.

Franklin Templeton is not the only firm seeking approval to offer a crypto-index ETF for Bitcoin and Ethereum. In June, Hashdex applied to establish the Hashdex Nasdaq Crypto Index USA ETF, which aims to be the first dual Bitcoin and Ethereum ETF in the US.

Earlier this month, the SEC announced that it would extend its ruling deadline for Hashdex’s proposed ETF to September 30.

Increasing institutional appetite

Franklin Templeton’s latest move comes at a time when institutional interest in digital assets, particularly Bitcoin and Ethereum, is on the rise.

Although the price of Bitcoin has struggled recently, the growing adoption of crypto ETFs reflects a broader trend of traditional financial institutions recognizing the value of digital assets as part of a diversified portfolio.

Franklin Templeton has been actively involved in the crypto space. The firm launched its spot Bitcoin ETF in the US on January 10, alongside other major asset managers.

Following the approval of the Ethereum ETF in May, Franklin Templeton revealed plans to introduce a new crypto fund that invests in tokens other than Bitcoin and Ether, targeting a wider range of digital assets.

This story is in development and will be updated.

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