Franklin Templeton Joins Spot Bitcoin ETF Race
Franklin Templeton, one of the world’s largest asset managers with over $1.4 trillion in assets under management, has filed an application with the US Securities and Exchange Commission (SEC) to offer a Spot Bitcoin ETF. This makes Templeton the twelfth financial institution to enter the race, joining the likes of BlackRock, ARK Invest, Grayscale, and WisdomTree.
If approved, the “Franklin Bitcoin ETF” will be listed and traded on the Cboe BZX Exchange, with Coinbase acting as the custodian for the fund’s Bitcoin holdings. However, Templeton’s application is still in the early stages, as it must first be listed in the Federal Register before the SEC can proceed with its review. The SEC has a 240-day window to approve or deny the application, with the next deadline being October 16 for Bitwise’s application.
Bitcoin’s Institutional Interest Raises Questions
The growing interest of traditional financial institutions like Franklin Templeton in Bitcoin should not be dismissed as a scam, according to Nate Geraci, President of ETF Store. He suggests that people should be curious about why these asset managers are getting involved instead of continuing to question the legitimacy of cryptocurrencies.
Arthur Hayes, former CEO of BitMEX, believes that these companies want to become the “crypto gatekeepers” and gain control over the industry as cryptocurrencies become more mainstream. This indicates a significant shift in perspective and highlights the potential long-term value that these institutions see in Bitcoin.
Hot Take: Traditional Finance Embracing Crypto
The entry of Franklin Templeton into the Spot Bitcoin ETF race is another clear sign of traditional finance’s increasing interest in the crypto industry. With major asset managers like BlackRock and ARK Invest already in the race, it’s becoming evident that cryptocurrencies are gaining recognition as legitimate investment assets.
While skeptics may still question the longevity of cryptocurrencies, it’s important to pay attention to the motivations behind these financial institutions’ involvement. They see the potential for Bitcoin to become a mainstream asset and want to position themselves as key players in the industry. This shift in perspective should encourage further exploration and discussion about the future of cryptocurrencies in traditional finance.
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