What to know:
- Aviva launches its first tokenized fund with Ripple on the public XRP Ledger network.
- Ireland approves Aviva’s tokenized fund for eligible investors using digital wallets.
- RWA.xyz records $4.37 billion in tokenized assets and 182 RWA holders on XRPL network
Aviva Investors has launched its first tokenized fund share class with Ripple, bringing its USD Liquidity Fund onto the XRP Ledger. The product received regulatory approval in Ireland and gives eligible investors access through digital wallets, the companies announced on July 29.
The move turns a traditional fund, launched in 2020, into a blockchain-based share class. Investors retain the same objective, risk profile, liquidity terms, and regulatory protections as holders of the conventional product.
How Does Ripple Support the Tokenized Fund?
Aviva said the portfolio seeks low-risk returns and daily liquidity through high-grade, short-term debt denominated in US dollars. BNY Mellon will keep custody of the underlying assets, while the tokenized units will be offered to eligible wallet users.
The Central Bank of Ireland approved the new class. Komainu supplied regulated institutional custody support, while Licuido provided the infrastructure used to tokenize the fund.
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The launch follows the partnership Aviva and Ripple disclosed in February. That agreement focused on bringing traditional investment products to XRPL. Ripple described it as its first collaboration with a European investment management company.
As per the agreement made in February, both the firms were supposed to work into 2026 and onwards. According to Aviva, the deal will help the firm incorporate tokenized solutions to its existing portfolio of products.
XRPL would be responsible for handling the issue and administration of the digital shares class. As per Aviva, the network provides fast and cost-effective transaction services for regulated financial institutions. This approach is also within the existing legal framework.
The number of transactions that the XRPL has handled since 2012 was more than four billion. The company highlighted in July that it currently had more than eight million active wallets and 130 or more independent validators.
CEO of Aviva, Mark Versey, said that the role played by Ripple was significant in the project. He further added that the manager would look into other tokenized fund structures in the future.
According to Nigel Khakoo, the executive of Ripple, the launch of the product indicated that a regulated investment product can work on live blockchain architecture.
XRPL Tokenization Activity Expands
On July 30, RWA.xyz distributed $313.30 million in assets and represented $4.06 billion in assets on XRPL. The dashboard showed that there were 182 RWA owners, a 17.42% growth compared to 30 days before.
Also, the same dashboard revealed 373 RWA in the network. Stablecoins accounted for an additional $952.25 million, along with 60,160 holders.
Aviva’s participation adds a regulated liquidity product to the aforementioned network dynamics. In the case of Ripple, the deal represents the expansion of its tokenization strategy into European asset management while keeping the purpose of the fund anchored in short-term US dollar debts.
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