FT CEO Urges Crypto Infrastructure Investment Over Tokens
At the SALT conference, Franklin Templeton CEO Jenny Johnson emphasized that true long-term value lies in crypto infrastructure investment rather than popular tokens like Bitcoin. She highlighted blockchain networks, layer-2 solutions, decentralized apps, and node validators as the foundational rails poised to deliver efficiency gains and transparency. By focusing on infrastructure, investors can benefit from immutable transaction records that reduce fraud and improve trust across financial services. Johnson also outlined a vision where mutual funds and ETFs operate on blockchain, streamlining operations and cutting costs, although regulatory uncertainty remains a major hurdle. This shift toward crypto infrastructure investment signals a maturing market that rewards utility, security, and scalability. Traders seeking sustainable growth should monitor developments in blockchain protocols such as Ethereum (ETH) and Solana (SOL), as well as emerging layer-2 platforms and oracle networks. With institutions collaborating with regulators, the path to mainstream adoption may accelerate, making infrastructure-focused assets a strategic addition to digital asset portfolios.
Bullish
Johnson’s emphasis on crypto infrastructure investment is likely to have a bullish impact on the market. Historically, announcements that highlight foundational blockchain development—such as major firms funding Ethereum scaling solutions or institutional commitments to DeFi protocols—have preceded sustained market rallies by building confidence in network utility and long-term viability. By redirecting capital from speculative tokens to underlying infrastructure, investors can reduce volatility and support projects that deliver tangible benefits like faster transaction speeds and enhanced transparency. In the short term, we may see increased demand for assets linked to infrastructure, including ETH and SOL, as traders adjust portfolios. Over the long term, clearer regulatory frameworks spurred by institutional engagement could unlock further capital flows, driving a broader market uptrend. While regulatory uncertainty remains a risk, the focus on infrastructure aligns with the maturation cycle observed in previous market cycles, where utility-driven investments laid the groundwork for subsequent token price appreciation.