US-based asset management giant Franklin Templeton is taking a significant step toward expanding its digital assets operations, announcing the establishment of a specialized cryptocurrency division. The initiative comes in tandem with the company’s move to acquire 250 Digital, a firm focused on developing investment strategies in the crypto sector for institutional clients.
Franklin Crypto and its new leadership structure
The new division will operate under the name Franklin Crypto, bringing together the team from 250 Digital and various liquid crypto strategies that were previously managed by CoinFund. This reorganization enables Franklin Templeton to combine expertise gained from multiple sources, creating a comprehensive hub for digital asset knowledge. According to the company, the restructuring is designed to address the escalating interest in cryptocurrencies among institutional investors and to provide tailored solutions to meet their evolving needs.
Franklin Crypto will be headed by Christopher Perkins, who formerly held key roles at CoinFund. Seth Ginns is set to lead the investment management arm of the business, while Tony Pecore, an existing executive in Franklin Templeton’s digital asset unit, will also join the leadership team. The entire department will report directly to Sandy Kaul, who oversees Franklin Templeton’s innovation division, ensuring integration within the company’s broader modernization strategy.
Acquisition and token-driven payment model
Franklin Templeton CEO Jenny Johnson highlighted that this move enhances the firm’s ability to deliver crypto expertise on a global scale. The new division will leverage the company’s existing digital asset portfolio, which manages approximately $1.8 billion, and will seek to diversify product offerings catering to a broader investor base. The strengthening of this portfolio underlines Franklin Templeton’s commitment to staying ahead in a rapidly transforming digital investment landscape.
The launch of Franklin Crypto reflects a wider trend among major fund management firms, which are now striving to develop in-house cryptocurrency capabilities that go beyond simply offering exchange-traded funds. Christopher Perkins noted that institutional investors are showing both strong interest and a clear need for reliable access to the digital asset market. Large-scale investors, he indicated, want structured and secure avenues for participating in this emerging asset class.
A standout aspect of the acquisition is the incorporation of a token-based payment structure, specifically utilizing Franklin Templeton’s own BENJI token for part of the transaction. The BENJI token is tied to the firm’s blockchain-enabled US Government Money Fund, functioning as a digital representation of fund holdings and payments. Franklin Templeton emphasizes that both fund transactions and ownership records for BENJI are maintained on a blockchain, enhancing transparency and efficiency.
This approach marks one of the first cases of tokenized assets being used directly in merger and acquisition deals. By settling payments and conducting reconciliations on blockchain platforms, Franklin Templeton aims to streamline the operational process, reduce clearing times, and provide a more direct and secure framework for financial transactions related to the acquisition.
The companies anticipate completing the acquisition process in the second quarter of 2026, although the transaction is still subject to regulatory approvals and various closing conditions. No financial details regarding the purchase price have been disclosed at this stage, with both parties choosing to keep these terms confidential.
