Ripple invests in 2 firms to scale XRPL tokenization

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Ripple announced new investments in two UK-based companies, ZILO and Licuido, as part of its effort to expand digital capital markets on the XRP Ledger (XRPL).

The company said the partnerships will help add important tools for institutional investors, including fund administration, token issuance, trading, and the movement of digital assets used as collateral.

Ripple did not reveal how much it invested in either company or the ownership stakes it received. However, both ZILO and Licuido confirmed the funding.

ZILO recently launched a platform that allows financial institutions to manage both traditional investment funds and tokenized fund shares through a single system. The platform is designed to handle tasks such as issuance, settlement, payments, reporting, and record-keeping without requiring separate systems for digital assets.

Licuido focuses on the issuance, distribution, and trading of tokenized assets. The company also aims to make it easier for tokenized fund units to be used as collateral in financial transactions.

A key part of Ripple’s plan involves RLUSD, its stablecoin. Ripple said RLUSD will be used as the payment side of transactions involving tokenized funds. This means the asset and payment can settle at the same time on the XRP Ledger, making transactions faster and more efficient.

Ripple believes tokenized funds represent a major growth opportunity for the financial industry. By investing in ZILO and Licuido, the company is building more infrastructure to support that market.

The announcement also connects to Ripple’s broader partnerships in the financial sector. Recent projects involving companies such as Aviva Investors, DBS Bank, and Franklin Templeton have explored the use of tokenized funds and digital assets on the XRP Ledger.

While the new investments strengthen Ripple’s technology ecosystem, the companies have not yet released details about transaction volumes, major client launches, or expected revenue from the partnerships. Future updates are expected to show how widely the new systems are adopted and whether RLUSD gains significant use in settling tokenized asset transactions.

For now, the investments represent another step in Ripple’s strategy to bring traditional financial products onto blockchain-based infrastructure.