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Aviva Investors Launches Tokenized USD Fund on Ripple's XRP Ledger

Created at 29 Jul · 3:11 PM1 source↑ Market-relevant
IN SHORT

Aviva Investors has launched its first tokenized fund, a USD Liquidity Fund, on the XRP Ledger in partnership with Ripple. The fund aims for low-risk returns and daily liquidity, targeting eligible investors with digital wallets.

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Key Numbers

$4.3 billiontotal tokenized value on XRP Ledger
17%increase in RWA holders on XRP Ledger last month

Who's Involved

Aviva Investors
U.K. asset manager launching tokenized fund
Ripple
Partner in tokenizing USD Liquidity Fund on XRP Ledger
XRP Ledger
Blockchain platform for the tokenized fund
Komainu
Crypto custodian supporting the fund launch
Licuido
Digital platform company supporting the fund launch
Central Bank of Ireland
Regulator that approved the tokenized fund
BNY Mellon
Custodian for the tokenized fund's assets

↳ Why This Matters

This launch signifies a growing trend of traditional financial institutions leveraging blockchain technology to offer new investment products, potentially increasing efficiency and accessibility in fund distribution and market infrastructure.

Key facts

  • Aviva Investors has launched its first tokenized fund on the XRP Ledger.
  • The fund is a tokenized share class of its USD Liquidity Fund.
  • The partnership with Ripple aims to tokenize real-world assets at scale.
  • The fund offers exposure to high-grade US dollar-denominated short-term debt instruments.
  • Eligible investors with digital wallets can access the new share class.
  • BNY Mellon will act as the custodian for the fund's assets.
  • The Central Bank of Ireland approved the launch of the tokenized fund.

U.K. asset manager Aviva Investors has launched its first tokenized fund, a USD Liquidity Fund, on the XRP Ledger in collaboration with crypto firm Ripple. This initiative marks a significant step in tokenizing real-world assets at scale, following a partnership announced earlier this year. The tokenized share class is designed to provide investors with exposure to high-grade, short-term U.S. dollar-denominated debt instruments, aiming for low-risk returns and daily liquidity. Eligible investors will be able to access the fund through digital wallets. The launch has received approval from the Central Bank of Ireland, and BNY Mellon will serve as the custodian for the fund's underlying assets. Komainu and Licuido also provided support for the launch. The XRP Ledger has been experiencing increased activity in tokenization, with the total tokenized value on the network currently exceeding $4.3 billion. This development coincides with ongoing upgrades to the XRP Ledger aimed at boosting institutional adoption.

Frequently asked questions

The XRP Ledger (XRPL) is a decentralized, public blockchain technology that enables fast, low-cost payments and tokenization of assets.

Tokenization is the process of converting rights to an asset into a digital token on a blockchain.

Aviva Investors is a U.K.-based global asset manager that is part of the Aviva Group.

BNY Mellon will act as the custodian, holding the actual assets that back the tokenized shares of the USD Liquidity Fund.

What Happens Next

01Further tokenization of real-world assets on the XRP Ledger is expected.
02Aviva Investors may explore additional tokenized fund offerings.

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Cadence

How It Developed

Aviva Investors partnered with Ripple to advance tokenization on the XRP Ledger.
Aviva Investors launched a tokenized share class of its USD Liquidity Fund on the XRP Ledger.
The fund targets low-risk returns and daily liquidity for eligible investors with digital wallets.
BNY Mellon will serve as the custodian for the assets backing these tokenized shares.
The launch received approval from the Central Bank of Ireland.
The XRP Ledger has seen increased activity in tokenization, with over $4.3 billion in tokenized value.

Sources

T1
XRP News: Aviva Investors Partners With Ripple to Launch Tokenized USD Liquidity Fund on XRPLCoinGape

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