tl;dr
Ripple has integrated Ondo Finance’s tokenized US Treasuries product, Ondo Short-Term US Government Treasuries (OUSG), into the XRP Ledger (XRPL). This allows institutional investors to mint and redeem OUSG using Ripple’s stablecoin RLUSD, providing seamless, permissioned on-chain access to short-te...
Ripple has integrated Ondo Finance’s tokenized US Treasuries product, Ondo Short-Term US Government Treasuries (OUSG), into the XRP Ledger (XRPL). This integration permits institutional investors to mint and redeem OUSG on XRPL using Ripple’s stablecoin RLUSD, offering seamless, permissioned on-chain access to short-term US Treasury yields. This move is part of Ripple’s strategy to expand tokenization of real-world assets on XRPL, aiming to improve liquidity, operational efficiency, and provide 24/7 market access for institutional participants.
The launch supports Ripple’s ambitions to tap into the rapidly growing tokenized asset market, which is projected to reach $19 trillion by 2033. To ensure robust trading activity, Ripple and Ondo have committed liquidity at the outset. RLUSD plays a crucial role as a enabler for cross-network utility and settlement, facilitating more efficient and compliant financial asset access.
OUSG ranks among the largest tokenized Treasury products globally, currently valued at approximately $692 million. The integration comes amidst growing interest from asset managers like BlackRock and Guggenheim Partners, who are pioneering tokenized treasury and money market products to modernize fund distribution and settlement. Ripple’s senior executive emphasized that such developments extend trusted financial assets onto public blockchains, enhancing liquidity, efficiency, and speed for capital access.