- Franklin Templeton acquires CoinFund spinoff 250 Digital to expand into crypto.
- New “Franklin Crypto” unit will focus on institutional investors and long-term strategies.
- Firm sees crypto downturn as an opportunity to build infrastructure and attract talent.
Asset management giant Franklin Templeton is expanding into digital assets by acquiring the crypto-focused spinoff 250 Digital from CoinFund.
This move is part of Franklin Templeton’s plan to grow its presence in the fast-changing crypto investment market and shows how traditional finance companies are preparing for long-term involvement in digital assets, even amid market volatility.
New “Franklin Crypto” Arm Targets Institutions
According to the Wall Street Journal, following the acquisition, Franklin Templeton plans to launch a dedicated unit called “Franklin Crypto”. The new arm will focus on building investment strategies tailored to institutional players such as pension funds and sovereign wealth funds.
The acquired entity, 250 Digital, is led by former CoinFund executives Christopher Perkins and Seth Ginns, both of whom bring deep Wall Street experience to the initiative.
According to Franklin’s head of innovation, Sandy Kaul, the goal is to create more structured and reliable access points for large-scale investors entering the crypto market.
Timing the Market Dip
Franklin’s expansion comes amid a prolonged crypto downturn. Bitcoin has fallen roughly 45% from its late-2025 peak above $126,000. At the same time, the global crypto market has lost around $2 trillion in value.
Despite this, the firm sees the downturn as an opportunity. Executives say it’s a good time to attract talent and build long-term infrastructure while valuations are lower.
Institutional Interest Keeps Growing
The acquisition also reflects a bigger trend on Wall Street, where institutional involvement in crypto is increasing. Franklin Templeton was an early mover, launching crypto initiatives in 2018 and taking part in U.S.-listed Bitcoin ETFs in 2024.
The firm has also partnered with Binance to allow its tokenized money-market fund to be used as collateral, showing closer links between traditional finance and crypto.
In other words, institutions now risk falling behind if they ignore digital assets, rather than worrying about reputational risks for getting involved.
Unlike the 2022 market crash, which saw major industry collapses, the current downturn has been relatively stable, with no widespread failures of large exchanges or lenders.
For firms like Franklin Templeton, this resilience reinforces the case for continued investment. With over $1.7 trillion in assets under management, the company is betting that institutional-grade crypto products will play a central role in the next phase of market growth.
Related: Franklin Templeton, Binance Launch Off-Exchange Collateral Program for Institutions
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