Ripple invested in ZILO and Licuido to expand XRP Ledger's institutional tokenization ecosystem. Here's how the move strengthens XRPL for RWAs
Ripple, a blockchain payments company, has invested in ZILO and Licuido, two UK-based fintech firms that specialize in digital fund administration, token issuance, and asset liquidity.
The move strengthens Ripple's vision of turning the XRP Ledger (XRPL) into a complete platform where institutions can issue, trade, settle, and use tokenized real-world assets (RWAs).
Ripple's recent investments build on its existing partnerships with both companies. Together, they help Ripple turn the XRP Ledger into a complete platform that enables financial institutions to easily issue, manage, and settle tokenized real-world assets while meeting regulatory requirements.
ZILO provides digital transfer agency and fund administration technology that helps asset managers maintain regulated ownership records for tokenized investment funds.
As more traditional funds move on-chain, institutions need reliable systems that can manage investors, ownership changes, and regulatory reporting without increasing operational risk.
Meanwhile, Licuido focuses on token issuance, distribution, and digital trading infrastructure. Its platform allows tokenized assets to move more freely across financial markets while enabling them to be used as collateral for borrowing, lending, and other institutional transactions.
By bringing these capabilities together, Ripple is creating a more complete digital capital markets infrastructure on XRPL instead of simply offering tokenization tools.
For Ripple, issuing tokenized assets is only the beginning. Nigel Khakoo, Ripple's Senior Vice President of Trading and Markets, said the real value comes after assets are tokenized.
"Tokenization of assets is only the starting point. The real value lies in what can be done with a token, including buying, selling, settling trades instantly, or using it as collateral to borrow, lend, or post margin."
Ripple's infrastructure is designed to support every stage of that process.
Institutions can issue tokenized assets, store them securely, settle transactions instantly through atomic settlement, and use Ripple USD (RLUSD) as the regulated cash leg for delivery versus payment transactions.
Tokenized funds can also be used as collateral immediately after issuance, allowing capital to remain productive instead of sitting idle on balance sheets.
This addresses one of traditional finance's biggest challenges, where assets often remain locked during lengthy settlement processes.
Ripple says today's financial markets still rely on infrastructure built decades before blockchain technology existed.
That legacy system often leads to slower settlement, fragmented record keeping, and inefficient collateral management.
The investments in ZILO and Licuido are intended to modernize those processes by combining regulated record keeping, digital issuance, custody, liquidity, and settlement into a single blockchain-based infrastructure operating on the XRP Ledger.
According to Licuido CEO Brian Lynch, tokenization alone does not solve liquidity problems.
Instead, institutions also need infrastructure that allows those digital assets to move efficiently while remaining compliant with financial regulations.
Earlier in 2026, Aviva Investors launched the first tokenized share class of its USD Liquidity Fund on the XRP Ledger. Ripple is also working with Franklin Templeton and DBS Bank to expand tokenized investment products and fund infrastructure on the network.
These partnerships suggest that financial institutions are moving beyond small pilot projects toward real production use cases.
Ripple is also connecting its broader institutional strategy through Ripple Prime, which is being developed alongside infrastructure linked to the Depository Trust & Clearing Corporation (DTCC) ecosystem.
Considering that the Fixed Income Clearing Corporation (FICC) processes more than $1.2 trillion in U.S. Treasury transactions every day, Ripple is positioning XRPL to support tokenized financial markets at institutional scale.
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