Franklin Templeton, one of the world's largest investment managers with $1.6 trillion in assets, has announced the creation of a dedicated cryptocurrency division called Franklin Crypto. The new unit is anchored by the planned acquisition of 250 Digital, a liquid crypto strategies firm spun off from CoinFund. Part of the deal will be paid using BENJI tokens - a first in M&A history.
250 Digital: From CoinFund to Franklin Templeton
250 Digital is an investment firm founded by Christopher Perkins and Seth Ginns, who previously managed liquid cryptocurrency strategies at CoinFund. The firm specializes in active portfolio management of digital assets, including Bitcoin and Ethereum, for institutional clients.
Franklin Templeton already manages approximately $1.8 billion in digital assets as of the end of 2025. However, these portfolios are primarily focused on passive index products and ETFs. The acquisition of 250 Digital opens access to active strategies with professional risk management, exactly what large institutional investors demand.
BENJI Tokens as Deal Payment - An Industry First
The most precedent-setting aspect of the deal is the partial payment using BENJI tokens, tied to the Franklin OnChain U.S. Government Money Fund (FOBXX). This is the world's first U.S.-registered mutual fund to use blockchain for processing transactions and recording share ownership, operating since its launch in 2021.
Using tokenized assets to settle an M&A transaction is unprecedented. Previously, tokenization was discussed mainly in the context of bonds, funds, and real estate. Now Franklin Templeton demonstrates that tokens can replace part of cash settlements even in corporate acquisitions. The financial terms of the deal were not disclosed.
Franklin Crypto Structure and Leadership
Upon completion of the acquisition, Christopher Perkins will lead Franklin Crypto as head of the division. Seth Ginns will serve as Chief Investment Officer (CIO). Tony Pecore, a digital assets veteran at Franklin Templeton who has been working in this space for several years, will also join the leadership team.
Wall Street Is Building Crypto Divisions En Masse
The creation of Franklin Crypto is not an isolated case. In recent months, BlackRock has been actively expanding its tokenized product portfolio, Goldman Sachs and JPMorgan are increasing their digital asset presence, and Mastercard acquired stablecoin platform BVNK for $1.8 billion.
According to a recent Coinbase survey, 73% of institutional investors plan to increase their crypto portfolios in 2026. Even despite the bear market. Bitcoin lost 22% in the first quarter, and the Fear & Greed Index stayed at 9 for 46 days, institutional capital continues flowing into the industry.
Prospects for the Crypto Market
The launch of Franklin Crypto confirms two key trends. First, major financial companies are no longer limited to spot ETFs, they are building full-scale investment platforms with active management for digital assets. Second, tokenization is beginning to extend beyond financial products and penetrate the very structure of corporate operations.
The deal is expected to close in the second quarter of 2026. After that, Franklin Crypto will offer institutional clients a full range of strategies, from passive investing to active cryptocurrency portfolio management led by former CoinFund managers.
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