Franklin Templeton has launched two exchange-traded funds that combine U.S. equity exposure with Bitcoin through rules-based strategies that systematically reinvest equity dividends into Bitcoin exposure.
The Franklin U.S. Equity Bitcoin DRIP Index ETF, trading under the ticker FBEQ, and Franklin U.S. Innovation Bitcoin DRIP Index ETF, trading under the ticker FIBT, will both list on Nasdaq.
Each ETF begins with a 95% allocation to its respective U.S. equity index and a 5% allocation to Bitcoin exposure.
Dividends generated by the underlying equities are then systematically directed toward Bitcoin exposure, while the indexes review their Bitcoin allocations quarterly using rules intended to keep the cryptocurrency as a secondary portfolio component.
FBEQ tracks the VettaFi U.S. Large-Cap 500 Bitcoin DRIP Index.
The strategy provides exposure to approximately 500 of the largest U.S. companies by market capitalization alongside Bitcoin and carries a fee of 9 basis points.
FIBT tracks the VettaFi U.S. Innovation 100 Bitcoin DRIP Index.
That strategy provides exposure to 100 of the largest U.S. issuers listed on Nasdaq, excluding financial companies, together with Bitcoin exposure. FIBT carries a fee of 19 basis points.
The funds do not hold Bitcoin directly. Instead, they obtain indirect exposure through shares of an affiliated Bitcoin exchange-traded product and derivatives.
Franklin Templeton said the products reflect an evolution in the ETF market from simply providing access to individual asset classes toward combining multiple exposures through structured portfolio methodologies.
The ETFs will be managed by Dina Ting, Hailey Harris, Joe Diederich, and Basit Amin.
Franklin Templeton managed more than $1.79 trillion in assets as of September 30, 2026 and operates in more than 30 countries.
KEY QUOTES:
“Bitcoin has matured as an investable asset, supported by deeper market infrastructure, broader adoption and a growing understanding of the role it can play in portfolios. As that evolution continues, we believe investors will increasingly look beyond simply gaining access to Bitcoin and consider how they want to incorporate the asset within a broader investment strategy.”
Dina Ting, SVP And Head Of Index Investments At Franklin Templeton
“These ETFs bring together U.S. equities and Bitcoin through a differentiated index methodology, expanding the ways we can help clients incorporate digital assets within their broader portfolios.”
Jeff Masom, Head Of U.S. Distribution And Global Wealth Management Private Markets At Franklin Templeton
