Franklin Templeton applies to launch a Bitcoin ETF with dividend automatic reinvestment

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BlockBeats News, June 19 — Franklin Templeton has submitted an application to the U.S. Securities and Exchange Commission (SEC) to launch two ETFs that automatically reinvest stock dividends into Bitcoin, namely Franklin US Equity Bitcoin DRIP Index ETF and Franklin US Innovation Bitcoin DRIP Index ETF, both expected to become effective as early as September 1, 2026.

These two ETFs will track the VettaFi US Large-Cap 500 Bitcoin DRIP Index and related innovation indices, with an initial allocation of 95% U.S. large-cap stocks plus 5% Bitcoin. During quarterly rebalancing, if Bitcoin's proportion exceeds 5%, it will be adjusted to 4.5%, with Bitcoin's maximum allocation not exceeding 20%. Bitcoin exposure will be achieved through spot Bitcoin ETPs, futures, options, and other instruments.

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