Is Traditional Finance Missing the Bitcoin Revolution? Insights from Franklin Templeton's CEO

Franklin Templeton CEO's Bold Claim on Bitcoin's Scale

Jenny Johnson, the CEO of Franklin Templeton, recently made waves at the Wyoming Blockchain Symposium, asserting that traditional finance is woefully underestimating the scale of Bitcoin. In her remarks, she highlighted the staggering $36.6 trillion in transactions that Bitcoin processed in 2023, which is double that of Mastercard and Visa combined.

A Shocking Revelation

Johnson expressed disbelief at how traditional financial institutions remain largely unaware of Bitcoin's enormous transaction volume. She stated, "What's crazy to me is that in traditional finance, they have no idea about the amount of money and the volume [of bitcoin]."

Bitcoin vs. Traditional Payment Networks

In 2023, the Bitcoin blockchain processed over $36.6 trillion in transactions, while Mastercard and Visa handled $9 trillion and $14.8 trillion, respectively. Johnson emphasized that there exists a massive parallel ecosystem that is often ignored by mainstream finance.

The Push for Digital Assets

Franklin Templeton has been proactive in embracing digital assets, with Johnson noting that 30% of her role focuses on disruptive technologies like Bitcoin and artificial intelligence. The firm has pioneered efforts in the digital asset space, launching the OnChain U.S. Government Money Market Fund in 2021, which was the first fund to utilize a public blockchain for transaction recording.

Future Outlook

Recently, Franklin Templeton filed a proposal with the Securities and Exchange Commission to launch a new exchange-traded fund under the ticker EZPZ, aimed at exposing investors to a variety of digital assets, with Coinbase serving as the custodian. Johnson’s insights shed light on the urgent need for traditional finance to recognize and adapt to the burgeoning world of cryptocurrencies.