Ripple and Archax have extended their existing collaboration, aiming to bring hundreds of millions of dollars of tokenized real-world assets (RWAs) onto the XRP Ledger (XRPL) over the coming year.
This collaboration brings together Ripple’s enterprise blockchain and crypto solutions and Archax’s capabilities as a U.K. Financial Conduct Authority (FCA)-regulated digital asset exchange, broker and custodian, the companies said in a Wednesday (June 13) press release.
Because Archax works with financial institutions to enable them to tokenize their financial RWAs, this collaboration will allow those institutions to select the XRPL to do so, according to the release.
“We have hit the tipping point for mainstream adoption of digital assets for real-world use cases,” Graham Rodford, CEO at Archax, said in the release. “There is clear real-world utility in use cases like RWA tokenization for the operational efficiency, access to liquid markets and transparency inherent to crypto, and Archax has already tokenized assets such as equities, debt instruments and money market funds.”
The XRPL is an open-source public decentralized Layer 1 blockchain built to power institutional-grade financial use cases, according to the release. Its built-in capabilities include tokenization, a native decentralized exchange and compliance features.
Over the past decade, XRPL has housed more than 1,000 projects, processed over 2.8 billion transactions, and supported over 5 million active wallets with a network of over 120 validators, per the release.
“Our industry is at the start of the next major adoption phase in which blockchain technology will deliver real utility in financial markets at scale,” Markus Infanger, senior vice president at RippleX, said in the release. “Ripple is excited to see Archax’s vision of driving the adoption of blockchain and digital assets technology amongst financial institutions come to life, while further underlining the credentials of the XRPL as one of the leading blockchains for RWA tokenization.”
In another recent move, Ripple said Tuesday (June 11) that it will support innovation of XRPL blockchain in Japan and South Korea with the newly launched XRPL Japan and Korea Fund, which is designed to “provide support for a range of robust initiatives to foster innovation of the XRP Ledger in both countries.”