Franklin Templeton Files 2 Bitcoin Dividend DRIP ETFs Targeting September 2026 Launch

Franklin Templeton has filed to launch two exchange-traded funds that would automatically reinvest dividends from U.S. stock holdings into bitcoin exposure, with a target effective date of Sept. 1, 2026. The proposed funds are the Franklin US Equity Bitcoin DRIP Index ETF and the Franklin US Innovation Bitcoin DRIP Index ETF.

Each fund would hold a 95% allocation to U.S. large-cap equities and 5% to bitcoin, with quarterly rebalancing to maintain the bitcoin sleeve at its target weight. Between rebalances, bitcoin exposure would be capped at 20% to prevent the crypto allocation from expanding too much during price rallies. The structure allows investors to gain incremental bitcoin exposure through dividend flows rather than making separate purchases.