Ripple Strengthens Tokenized Finance Infrastructure With Zilo and Licuido Investments
Ripple has invested in UK-based fintech firms Zilo and Licuido to expand tokenized asset capabilities on its XRP Ledger, aiming to enable institutions to use tokenized funds as collateral from the point of issuance.
Expanding Tokenization Infrastructure
Ripple has announced strategic investments in two United Kingdom-based financial technology companies as it seeks to deepen its footprint in tokenized finance. The blockchain infrastructure firm has invested in Zilo, a platform delivering global transfer agency services to wealth managers, and Licuido, a tokenization solutions provider regulated by the UK Financial Conduct Authority. While Ripple did not disclose investment amounts, Zilo has raised $58.7 million in total equity funding according to available funding records.
These investments underscore Ripple’s strategic commitment to building institutional-grade infrastructure for tokenized assets on its XRP Ledger. By partnering with regulated service providers, Ripple aims to bring transfer agency capabilities, issuance management, and collateral mobility to XRPL. The ultimate objective is to enable tokenized funds to function as collateral directly from the point of issuance, eliminating friction in how these assets can be deployed.
Unlocking Collateral Efficiency Through Tokenization
At the heart of Ripple’s strategy lies a problem affecting traditional finance and emerging blockchain markets alike: collateral that remains idle because existing systems lack mechanisms to deploy it from the moment of creation. Ripple’s new partnerships aim to solve this by creating collateral mobility—allowing tokenized instruments to serve productive roles immediately upon issuance rather than requiring separate processes or intermediaries.
The timing reflects growing institutional momentum on XRPL. London-based asset manager Aviva Investors recently deployed a tokenized share class of its US Dollar Liquidity Fund directly on the XRP Ledger, following approval from the Central Bank of Ireland. This deployment demonstrates concrete institutional demand for tokenized products built on XRPL infrastructure.
Ripple’s tokenization initiative has accelerated across multiple fronts. Last month, the company launched Ripple Mint, a new institutional platform enabling participants to access, mint, redeem, and manage its dollar-pegged stablecoin, Ripple USD, through enhanced tooling and workflows.
XRPL’s Expanding Role in Tokenized Real-World Assets
The XRP Ledger currently hosts $368 million in tokenized real-world assets, positioning it as the 11th-largest blockchain for this asset class. Ethereum leads by a significant margin with $17.1 billion in tokenized RWAs, but the broader ecosystem continues rapid expansion. Across all blockchains, total tokenized assets reached $37.3 billion, with the number of RWA holders rising 50 percent to 1.57 million over just the past month.
Ripple’s investments in Zilo and Licuido represent a bet that blockchain infrastructure can streamline how institutions access and manage tokenized assets—positioning XRPL as a key platform for the future of tokenized finance. As tokenized finance emerges as a major institutional trend, XRP Ledger is positioning itself as a critical infrastructure layer for this transformation.
Source: Ripple, via Cointelegraph. Not financial advice.