Key Highlights
- Ripple has invested in transfer agency provider ZILO and tokenization platform Licuido.
- Both companies have already worked with Ripple on institutional tokenization initiatives.
- The investments add transfer agency, issuance, and collateral mobility capabilities to the XRP Ledger ecosystem.
Ripple, a blockchain technology company, has invested in tokenization infrastructure firms ZILO and Licuido, expanding its push into institutional digital asset markets through the XRP Ledger.
In an official blog post published on Monday, the firm said that the investments deepen Ripple’s relationships with both companies while supporting services such as token issuance, transfer agency operations, and collateral management on the XRP Ledger.
The move comes as financial institutions increasingly explore tokenized versions of traditional assets, including investment funds, government bonds, and private market products.
Why Ripple is investing in tokenization infrastructure
Ripple said the investments are intended to address operational functions that become increasingly important as tokenized financial products move into regulated markets. According to the company, tokenized assets require infrastructure that supports issuance, ownership records, custody, settlement, and collateral management rather than simply existing on a blockchain.
Nigel Khakoo, Ripple’s Senior Vice President of Trading and Markets, said institutions are increasingly focused on how tokenized assets can be used after issuance. He added, “Tokenization of assets is only the starting point. The real value lies in what can be done with a token, including buying, selling and settling trades instantly, or using it as collateral.”
Ripple added that its stablecoin RLUSD is intended to serve as the cash settlement leg for delivery-versus-payment transactions executed on the XRP Ledger.
What ZILO and Licuido bring to XRP Ledger
ZILO develops transfer agency and fund administration technology used by asset managers and custodians to maintain ownership records and administer investment funds.
Phil Goffin, Founder and CEO of ZILO, said transfer agency systems will need to adapt as tokenized share classes become more common. He added, “Transfer agents and asset managers need infrastructure that can support tokenized share classes without increasing operational complexity.”
Meanwhile, Licuido focuses on issuing, distributing, and trading tokenized financial assets while enabling them to move through collateral and liquidity markets.
Brian Lynch, CEO and Co-Founder of Licuido, said tokenization alone does not solve broader market liquidity challenges.
Part of Ripple’s broader tokenization push
The announcement follows Ripple’s growing involvement in institutional tokenization projects on the XRP Ledger. Last week, Aviva Investors launched its tokenized USD Liquidity Fund on XRPL, providing regulated blockchain-based access to one of its liquidity products.
Ripple previously said ZILO and Licuido were already participating in that initiative by supporting transfer agency, issuance, custody, and settlement infrastructure. Those projects reflect Ripple’s broader effort to build supporting infrastructure around tokenized assets rather than focusing solely on blockchain payments.
Competition around tokenization infrastructure intensifies
Tokenization has become one of the fastest-growing areas of digital asset infrastructure, with financial institutions increasingly exploring blockchain technology for funds, bonds, money market products, and other traditional assets.
As adoption grows, competition has shifted beyond token issuance toward the infrastructure supporting ownership records, compliance, settlement, collateral management, and secondary market activity.
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