Overview
- Franklin filed a Form 8‑A on October 22 and the prospectuses list an effective date of October 27 for the Franklin US Equity Bitcoin DRIP Index ETF (FBEQ) and Franklin US Innovation Bitcoin DRIP Index ETF (FIBT).
- Each fund will start with about 95% in U.S. equities and 5% in Bitcoin exposure, with dividends routed into Bitcoin purchases on the business day after each ex‑dividend date.
- The ETFs will not hold Bitcoin on‑chain and will obtain crypto exposure through Bitcoin exchange‑traded products, futures and options, or depositary receipts, including Franklin’s existing spot ETF EZBC.
- Rules limit Bitcoin’s role: quarterly rebalances trim any allocation above 5% down to 4.5%, a breach above 20% between rebalances must be cut to 4.5% within two business days, and the funds charge a 0.09% annual fee.
- The filings extend Franklin’s crypto product shelf and offer investors a hands‑off way to accumulate Bitcoin via dividends while still exposing them to Bitcoin’s volatility and to limits on how fast the crypto sleeve can grow.