Franklin Crypto Trust Files S-1 for New ETF

TL;DR

Franklin Crypto Trust files S-1 for a new crypto index ETF, aiming to track digital assets.

AI Summary

Franklin Crypto Trust, sponsored by Franklin Holdings, LLC, filed an S-1 registration statement on August 16, 2024, for its Franklin Crypto Index ETF. The ETF aims to track a crypto index, with Franklin Holdings, LLC serving as the sponsor. The filing indicates the trust is incorporated in Delaware and its principal executive offices are located at One Franklin Parkway, San Mateo, CA.

Why It Matters

This filing signals Franklin Templeton's continued interest in the digital asset space, potentially offering investors a regulated way to gain exposure to cryptocurrencies.

Risk Assessment

Risk Level: medium — The cryptocurrency market is inherently volatile, and the success of this ETF will depend on its ability to accurately track its underlying index and navigate regulatory landscapes.

Key Players & Entities

• Franklin Crypto Trust (company) — Registrant
• Franklin Holdings, LLC (company) — Sponsor
• Franklin Crypto Index ETF (company) — ETF Name
• August 16, 2024 (date) — Filing Date
• Delaware (jurisdiction) — State of Incorporation
• One Franklin Parkway, San Mateo, CA (location) — Principal Executive Offices

FAQ

Filing Documents

• fcts1082024.htm (S-1) — 1420KB
• ex31.htm (EX-99) — 9KB
• exfilingfeetable.htm (EX-FILING FEES) — 16KB
• image00001.jpg (GRAPHIC) — 7KB
• image00002.jpg (GRAPHIC) — 33KB
• filename7.htm (COVER) — 7KB
• 0001137439-24-001282.txt ( ) — 1508KB

USE OF PROCEEDS

USE OF PROCEEDS 93 OVERVIEW OF THE ETHEREUM INDUSTRY 93 OVERVIEW OF THE BITCOIN INDUSTRY 104 OVERVIEW OF THE DIGITAL ASSET INDUSTRY 108 BUSINESS OF THE FUND 112 DESCRIPTION OF THE SHARES AND THE TRUST 129 CREATIONS AND REDEMPTIONS 132 THE TRUSTEE 140 141 FISCAL YEAR 141 THE SECURITIES DEPOSITORY; BOOK-ENTRY-ONLY SYSTEM; GLOBAL SECURITY 141 DESCRIPTION OF KEY SERVICE PROVIDERS 142 THE SPONSOR 142 THE TRUSTEE 145 THE ADMINISTRATOR 146 THE CUSTODIANS 147 THE PRIME BROKER AND THE TRADE CREDIT LENDER 149 TRADING COUNTERPARTIES 156 THE INDEX PROVIDER 157 THE MARKETING AGENT 157 U.S. FEDERAL INCOME TAX CONSEQUENCES 157 ERISA AND RELATED CONSIDERATIONS 168 SEED CAPITAL INVESTOR 169 PLAN OF DISTRIBUTION 169 CONFLICTS OF INTEREST 170 GOVERNING LAW; CONSENT TO DELAWARE JURISDICTION 172 LEGAL MATTERS 172 EXPERTS 172 WHERE YOU CAN FIND MORE INFORMATION 172 GLOSSARY 173 REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM 183 v This prospectus contains information you should consider when making an investment decision about the Shares. You may rely on the information contained in this prospectus. Neither the Trust, on behalf of the Fund, nor the Sponsor has authorized any person to provide you with different information and, if anyone provides you with different or inconsistent information, you should not rely on it. You should assume that the information appearing in this prospectus is accurate only as of the date on the front cover of this prospectus. This prospectus is not an offer to sell the Shares in any jurisdiction where the offer or sale of the Shares is not permitted. Until [ ] (25 days after the date of this prospectus), all dealers effecting transactions in the Shares, whether or not participating in this distribution, may be required to deliver a prospectus. This requirement is in addition to the obligations of dealers to deliver a prospectus when acting as underwriter

View Full Filing

View this S-1 filing on SEC EDGAR