Bitcoin ETFs Gain Traction as BlackRock and Franklin Templeton Launch New Funds

BlackRock's iShares Bitcoin Trust (IBIT), launched in January 2024, has amassed about $48 billion in assets and holds more than 765,000 BTC. Roughly 75 % of its investors were new to ETFs, signalling a wave of retail participation in regulated crypto products.

Separately, Franklin Templeton filed with the SEC on 18 June two innovative ETFs – the Franklin U.S. Equity Bitcoin DRIP Index ETF and the Franklin U.S. Innovation Bitcoin DRIP Index ETF. Both aim for a 5 % allocation to Bitcoin, funded by converting dividend payouts into additional Bitcoin exposure, with a quarterly rebalancing cap of 20 %. If approved, the funds could debut on 1 September 2026, offering a hybrid mix of U.S. equity and Bitcoin exposure.

Both filings underscore a growing convergence of traditional finance and digital assets, as large asset managers expand regulated access to Bitcoin for a broader investor base.