Switch to seedless. Get 30% off with SWITCH30 till Oct 26Franklin Templeton unveils ETFs that turn dividends into Bitcoin
6.9 Investments Franklin Templeton will launch two Nasdaq ETFs that reinvest U.S. stock dividends into Bitcoin, starting with 95% in stocks and 5% in Bitcoin, with a 20% Bitcoin cap.
Franklin Templeton is preparing to launch two innovative exchange-traded funds (ETFs) that blend U.S. equities with systematic Bitcoin exposure using a Dividend Reinvestment Plan (DRIP) strategy. The proposed ETFs—Franklin US Equity Bitcoin DRIP Index ETF (FBEQ) and Franklin US Innovation Bitcoin DRIP Index ETF (FIBT)—have secured approval for listing on Nasdaq. At inception, each fund will allocate 95% of its assets to U.S. stocks and 5% to Bitcoin-related instruments. Unlike traditional DRIPs that reinvest dividends into additional shares, these ETFs will channel both regular and special dividends into Bitcoin exposure. The Bitcoin allocation is capped at 20% and will be trimmed to 4.5% if it exceeds 5%. The funds track VettaFi indexes, focusing on either the 500 largest U.S. companies or 100 innovation-driven Nasdaq firms. The management fee is set at 0.09%. While regulatory filings are complete and an effective date is listed, trading has not yet begun. These ETFs offer investors a unique way to gain both equity and Bitcoin exposure in a single product.
