With a proposed acquisition of crypto investment firm 250 Digital at its core, Wall Street asset management behemoth Franklin Templeton is stepping up its push into digital assets by establishing a dedicated cryptocurrency division.
The company announced on Wednesday that the new division, named Franklin Crypto, will unite the 250 Digital team and its liquid cryptocurrency strategies, which were previously overseen by CoinFund, into a single structure targeted at institutional investors.
The business will be led by former CoinFund executive Christopher Perkins, with Seth Ginns acting as chief investment officer, alongside Franklin Templeton digital assets executive Tony Pecore. The division will report to the company’s head of innovation, Sandy Kaul.
By expanding its current digital asset business, which oversees around $1.8 billion, Franklin Templeton is moving toward providing more active crypto investment strategies in addition to its current offerings.
“This is an exciting addition for Franklin Templeton,” said CEO Jenny Johnson, adding that the deal increases the company’s ability to provide clients around the world with dedicated cryptocurrency expertise.
The launch of Franklin Crypto reflects a broader trend among large asset managers, who are moving away from exchange-traded funds and other passive exposure and toward building their own capabilities.
According to Perkins, the effort is meant to meet that demand. He stated, “Crypto’s institutional moment has arrived,” citing the increasing interest among large investors seeking structured exposure to digital assets.
Additionally, there is an experimental component to the transaction: a portion of the consideration will be paid in BENJI tokens, which are linked to Franklin Templeton’s on-chain U.S. Government Money Fund. The fund records ownership and processes transactions using blockchain technology.
With settlement taking place increasingly directly on blockchain rails, this approach suggests early steps toward executing mergers and acquisitions using tokenised assets.
Source: X.com
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