Franklin Templeton Files New Bitcoin DRIP ETFs That Turn Stock Dividends Into BTC
Franklin Templeton has proposed two new exchange-traded funds (ETFs) that combine broad U.S. equity exposure with a systematic bitcoin allocation through dividend reinvestment, according to a June 18 Securities and Exchange Commission (SEC) filing.
The Franklin US Equity Bitcoin DRIP Index ETF and the Franklin US Innovation Bitcoin DRIP Index ETF are designed to track indexes developed by VettaFi. Both start with a 95% allocation to equities and 5% to bitcoin, but dividend proceeds are systematically reinvested into bitcoin-related holdings over time.
The first fund tracks the VettaFi US Large-Cap 500 Bitcoin DRIP Index, which includes the 500 largest U.S. companies by market capitalization. As of April 30, 2026, it held 498 securities. The second tracks the VettaFi US Innovation 100 Bitcoin DRIP Index, drawn from the 100 largest Nasdaq-listed U.S. companies, excluding finance firms.
The funds access bitcoin through crypto-linked exchange-traded vehicles, futures, options, and other securities. They may use a Cayman Islands subsidiary for certain digital asset exposures. Both funds use a passive index-tracking or sampling method to mirror performance.
The filing also notes that Goldman Sachs has filed for a similar Bitcoin Premium Income ETF using a covered call strategy.