Franklin Crypto Trust Reports Significant Growth in Net Assets and Share Value for Quarter Ending September 30, 2025

Franklin Crypto Trust has reported its financial results for the quarter ending September 30, 2025, revealing a significant increase in net assets and share value since its inception. The Trust, which operates the Franklin Crypto Index ETF, reported total assets of $7.59 million, with net assets amounting to $7.59 million as well. The net asset value (NAV) per share rose to $30.34, up from $27.11 at the end of the previous quarter, reflecting an increase of 11.91% over the three-month period. This growth is attributed to a 5.22% increase in the price of bitcoin and a substantial 65.21% rise in the price of ether during the same timeframe.

In comparison to the period from February 20, 2025, when operations commenced, to September 30, 2025, the NAV per share increased from $25.13 to $30.34, marking a total return of 20.73%. The Trust's investments in digital assets, primarily bitcoin and ether, have shown strong performance, with net realized and unrealized gains on investments totaling approximately $1.03 million for the period. The Fund's holdings included 55.4156 bitcoins valued at $6.33 million and 304.3726 ethers valued at $1.26 million as of September 30, 2025.

Operationally, the Trust has seen a rise in share issuance, with 100,000 shares created during the quarter, bringing the total outstanding shares to 250,000. The increase in net assets was primarily driven by capital share transactions amounting to approximately $3.06 million. The Trust's management has indicated that the increase in net assets is largely due to favorable price movements in digital assets and successful capital raising efforts.

The Trust continues to operate as an emerging growth company, allowing it to take advantage of certain reporting exemptions. The Sponsor, Franklin Holdings, LLC, has agreed to assume ordinary fees and expenses incurred by the Fund, which include administrative and marketing costs. The Sponsor's fee is accrued daily at an annualized rate of 0.19% of the Fund's NAV, and for the period from February 20, 2025, to September 30, 2025, the Sponsor waived a portion of this fee, resulting in a net fee payable of $1,009.

Looking ahead, the Trust's management remains optimistic about the future performance of the Fund, citing the potential for continued growth in the digital asset market. However, they also acknowledge the inherent risks associated with digital assets, including market volatility and regulatory changes, which could impact the Fund's performance and the value of its shares.