Franklin Templeton and SBI Holdings are partnering to launch a Bitcoin exchange-traded fund (ETF) in Japan.
According to a recent Nikkei report, SBI and Franklin Templeton will form a new digital asset management company to prepare for the launch of cryptocurrency ETFs in Japan, focusing initially on Bitcoin ETFs.
New joint venture to introduce more digital assets
SBI Holdings will own 51% of the new company, while Franklin Templeton, the world’s seventh-largest asset manager, will own the remaining 49%. The initiative is expected to be implemented as soon as the Japanese Financial Services Agency gives its approval.
The new joint venture will offer digital securities by tokenizing blockchain assets such as real estate and government bonds. An early commitment from Franklin Templeton supports the initiative, with tokenized assets expected to reach $16.1 trillion by 2030, according to Boston Consulting Group and ADDX.
The report indicated that SBI is working with international companies to expand its alternative investment products. In July 2023. SBI announced a partnership with the UK-based Man Group, followed by another venture with US private equity firm KKR in September 2023.
Franklin Templeton is issuing an Ethereum ETF
Franklin Templeton launched its Franklin Ethereum ETF (EZET) on July 23. It is offered on the Cboe BZX exchange with a 0.19% fee.
“Following the success of our Bitcoin ETF (EZBC) in January, we are proud to add EZET to our growing portfolio of digital asset ETFs.” – said the firm’s head of global ETFs, Patrick O’Connor.
“We have been active participants and contributors to the digital asset ecosystem since 2018 and have seen firsthand the transformative power of blockchain technology,” said Chief Digital Asset Officer Roger Bayston.
Bayston said the company is eager to offer its customers Ethereum’s Web3 innovations, such as smart contracts and the Ethereum Virtual Machine.
