Wall Street Giant Doubles Down on Crypto
Franklin Templeton, the global asset manager overseeing $1.78 trillion in assets, has completed its acquisition of 250 Digital and launched a new division focused squarely on cryptocurrency investment. The deal, first announced in April 2026, signals a concrete shift by one of Wall Street’s largest players toward the digital asset sector at a time when institutional demand for regulated crypto exposure is climbing. While the financial terms of the acquisition remain undisclosed, Franklin Templeton is investing its own capital into the new crypto strategies—an unusual move for a traditional fund giant.
The newly formed unit, Franklin Crypto, will operate as a dedicated arm offering actively managed cryptocurrency strategies to institutional investors such as pensions, sovereign wealth funds, and large asset allocators. This marks a significant expansion for Franklin Templeton’s digital asset ambitions beyond its previous tokenization initiatives. The company’s tokenized asset holdings have grown from $768 million in June 2023 to over $2.5 billion today, reflecting both internal momentum and broader market growth.
Franklin Crypto Taps 250 Digital’s Expertise
The entire investment team from 250 Digital is joining Franklin Templeton as part of the transition, bringing with them all liquid cryptocurrency strategies previously managed under CoinFund. 250 Digital itself spun out of CoinFund only in January 2026, making this acquisition a rapid evolution for the team now at the core of Franklin Crypto.
The new division will combine 250 Digital’s specialized crypto investment approach with Franklin Templeton’s extensive global distribution network spanning over 35 countries. Christopher Perkins and Seth Ginns—both former leaders at 250 Digital—will head up Franklin Crypto, with Perkins serving as Head and Chief Investment Officer. They are joined by Tony Pecore from Franklin Templeton’s digital assets group to round out the leadership team. This blend of crypto-native experience and traditional finance muscle is designed to appeal to institutions seeking both innovation and regulatory assurance.
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Liquid Strategies Get Major Backing
Franklin Templeton is not just absorbing talent; it is also putting its own money behind these new liquid crypto strategies. As part of the closing agreement, the firm has allocated proprietary capital to back these products—a move that sets it apart from many legacy managers who typically act as intermediaries rather than investors themselves. Notably, BENJI tokens—the blockchain-based representation of Franklin OnChain U.S. Government Money Fund—were used as part of the acquisition consideration. These tokens provide exposure to a regulated U.S. money market fund recorded directly on public blockchains.
On paper this looks like a seamless integration of digital-native expertise into a legacy institution, but success will depend on how effectively Franklin Crypto can scale within traditional compliance frameworks.
The timing comes as real-world asset (RWA) tokenization continues to accelerate: the onchain RWA market has jumped from $11.8 billion to $32.2 billion in value over just twelve months. For institutions wary of volatile spot markets yet eager for blockchain efficiency and transparency, regulated offerings like those promised by Franklin Crypto could be attractive alternatives.
$1.78 Trillion Giant Eyes Blockchain Future
According to coindesk.com, Franklin Templeton’s new division aims to serve institutional clients seeking professionally managed crypto portfolios—a segment that has grown more vocal about risk controls and regulatory clarity since recent market disruptions. The use of BENJI tokens also signals an ongoing commitment to onchain finance by integrating blockchain-based instruments into major corporate transactions.
Despite these moves, it’s unclear how quickly institutional flows will materialize or whether regulatory headwinds could slow adoption in certain jurisdictions. Still, with all staff from 250 Digital onboarded and leadership roles clearly defined, Franklin Templeton appears positioned to compete aggressively in this evolving sector.
One open question remains: Will other legacy asset managers follow suit with similar acquisitions or continue to watch from the sidelines?
What to Remember
- •Franklin Templeton completed its acquisition of 250 Digital, first announced in April 2026; financial terms were not disclosed.
- •The new Franklin Crypto division will be led by Christopher Perkins and Seth Ginns, targeting institutional investors with actively managed crypto strategies.
- •Franklin Templeton’s tokenized assets grew from $768 million in June 2023 to over $2.5 billion as of the acquisition.
Key points to monitor
If Franklin Templeton begins allocating its own capital into the liquid cryptocurrency strategies managed by the new Franklin Crypto division as part of the closing agreement, immediate flows from one of the world’s largest asset managers could be observed; however, the exact timing and scale of these allocations remain unclear as financial terms have not been disclosed.