Franklin Templeton’s filing said that more crypto tokens may be considered to be added to the Crypto Index ETF in the future, but only once “the fund and Cboe BZX Exchange receive the necessary regulatory approval to permit the Fund to hold such other digital assets.”
The firm said there’s “no assurance” that any crypto tokens beyond the two largest by market cap will be approved for inclusion in the fund.
The filing highlighted several potential risks for investors, including competition from the “emergence or growth” of other crypto tokens like Solana (SOL), Avalanche (AVAX) and Cardano (ADA), which could negatively impact demand for the Franklin Crypto Index ETF.