Ripple and Archax have extended their partnership to tokenize a substantial amount of real-world assets on the XRP Ledger, enhancing the utility of blockchain for institutional-grade financial purposes.
As a leader in business blockchain and cryptocurrency solutions, Ripple has revealed an expansion of its collaboration with Archax, the UK’s first digital asset exchange, broker, and custodian licensed by the Financial Conduct Authority (FCA). Over the coming year, this partnership aims to tokenize real-world assets valued at hundreds of millions of dollars on the XRP Ledger, solidifying XRPL as a prominent blockchain for RWA tokenization.
The news has been met with enthusiasm from cryptocurrency experts like blockchain researcher Collin Brown, who sees this as a significant move towards mainstream adoption of blockchain in financial markets.
Archax specializes in tokenizing financial RWAs and works closely with top financial institutions. Through this partnership, these institutions now have the option to choose the XRPL for their tokenization needs, opening up numerous opportunities for these assets.
This collaboration builds upon a previous alliance that began in 2022 when Archax and Metaco joined forces to offer custody services for digital assets. Following Ripple’s acquisition of Metaco in 2023, the partnership was further strengthened, as previously reported by CNF.
The XRPL, a decentralized Layer 1 blockchain, boasts built-in tokenization capabilities, a native decentralized exchange, and compliance features tailored for institutional-grade financial use cases. According to Markus Infanger, SVP of RippleX, blockchain technology is on the cusp of significant adoption in financial markets on a large scale.
Ripple and Archax share a commitment to compliance, working closely with governments and regulators worldwide to integrate blockchain and cryptocurrency technologies into the global financial system. Archax, as the first and only FCA-regulated digital securities exchange, custodian, and brokerage, is well-positioned to offer clients the benefits of decentralized finance through RWA tokenization.
With the XRPL’s proven efficiency and reliability, it serves as a strong foundation for institutional-grade DeFi and RWA tokenization. The platform offers advanced features like Oracles, a Decentralized Identifier (DID), Multi-Purpose Tokens (MPT) capacity, and an Automated Market Maker (AMM).
As XRP continues to trade around $0.4864, the XRPL has recently integrated the Axelar Bridge to further establish itself as a versatile blockchain capable of accommodating various uses and applications.
