Binance and Franklin Templeton May Explore Security Tokenization, Leveraging Franklin’s Bitcoin ETF Experience

• Partnership focus: tokenization of securities and trading infrastructure integration.

• Binance plans to roll out security tokenization products later in the year; Franklin Templeton provides compliant tokenization expertise.

• Binance handles roughly $22 billion in daily crypto trading; Franklin Templeton manages about $1.64 trillion in assets (Aug 2025).

Binance Franklin Templeton tokenization: Explore secure, compliant security token products and trading infrastructure — read the full analysis and next steps.

Binance Franklin Templeton tokenization — Binance has partnered with Franklin Templeton to pilot tokenized securities and integrate a global trading infrastructure that targets improved settlement, collateral efficiency and scalable portfolio construction.

Published: 2025-09-10 | Updated: 2025-09-10 | Author: COINOTAG

What is the Binance and Franklin Templeton partnership?

The Binance and Franklin Templeton partnership is a strategic collaboration to explore and deploy the tokenization of securities combined with Binance’s global trading infrastructure. The project targets operational efficiencies in settlement, collateral management and portfolio construction while ensuring compliance for institutional participants.

How will tokenization be implemented in this collaboration?

Franklin Templeton will contribute compliant tokenization expertise and institutional product design. Binance will supply its trading rails and investor reach. The alliance aims to move tokenization from pilot stages to production, enabling asset owners to digitize securities with regulatory guardrails and market access at scale.

Why does this matter for markets and investors?

Tokenization can reduce settlement times, lower operational costs and expand fractional ownership opportunities. For institutional investors, tokenized securities offer programmable settlement and improved collateral workflows. For retail investors, tokenization can widen access to previously illiquid or high-minimum investment products.

What product timeline did the partners indicate?

A Binance spokesperson indicated security tokenization products are expected later this year. Franklin Templeton executives stated the partnership’s goal is to “take tokenization from concept to practice” to meet global capital market requirements and co-create next-generation portfolios.

Roger Bayston, Franklin Templeton’s head of digital assets, said: “Our goal is to take tokenization from concept to practice for clients to achieve efficiencies in settlement, collateral management, and portfolio construction at scale.”

Sandy Kaul, head of innovation at Franklin Templeton, added that tokenization technology is moving from the fringes to the financial mainstream and can be used to reimagine legacy systems rather than replace them.

How large are the organizations involved?

Binance operates as the world’s largest crypto exchange by trading volume and handles roughly $22 billion in daily trading volume, according to CoinGecko. Franklin Templeton is a major US investment manager, reporting about $1.64 trillion in assets under management as of August 2025.

What broader industry activity does this follow?

The deal adds to an industry trend where traditional finance firms and crypto infrastructure providers collaborate on tokenized securities. Recent market activity includes new tokenization offerings and exchange-level proposals to list tokenized stocks, reflecting growing institutional interest in digital asset infrastructure.

Frequently Asked Questions

How will compliance be handled for tokenized securities?

Franklin Templeton will lead compliance and regulatory design, implementing legal wrappers and KYC/AML controls alongside token issuance. The objective is to align tokenized products with prevailing securities regulations and institutional risk frameworks.

Can retail investors access these tokenized products?

The partners state the aim is to broaden access; however, availability will depend on jurisdictional rules and product design. Some offerings may initially target institutional or accredited investors before wider retail distribution.

Key Takeaways

• Strategic alliance: Binance + Franklin Templeton to develop security tokenization with global trading infrastructure.
• Operational benefits: Tokenization targets settlement speed, collateral efficiency and portfolio construction at scale.
• Market context: The collaboration builds on broader institutional interest in tokenized assets and recent exchange-level tokenization initiatives.

Conclusion

This partnership between Binance and Franklin Templeton signals a concrete push toward security tokenization that combines institutional compliance with global trading infrastructure. Expect pilot products later in 2025 and continued industry experiments as firms seek efficiency, transparency and broader investor access to tokenized markets.