Ripple Bolsters Tokenized Assets with Strategic Investments in Zilo and Licuido

Ripple has made two strategic investments to expand the use of tokenized financial assets on its XRP Ledger (XRPL). The company says the deals will improve 'collateral mobility' for tokenized funds, a crucial issue for institutions seeking more efficient ways to utilize on-chain assets within existing financial workflows.

The investments are in Zilo, a global transfer agency asset solutions provider for wealth managers, and Licuido, a tokenization solutions company regulated by the UK Financial Conduct Authority. Ripple did not disclose the investment amounts, but the strategic integration of these partners into XRPL-based services is expected to have a significant impact.

Tokenized real-world assets (RWAs) depend on more than just issuance and settlement technology. For institutional participation, the operational stack must also support regulated lifecycle components such as transfer agency, issuance processes, and collateral usage. Ripple's goal is to bring 'regulated transfer agency, issuance, and collateral mobility' into XRPL infrastructure.

The combination of the two investments aims to address friction related to idle collateral by enabling tokenized funds to be used as collateral from the point of issuance. This is a critical step in making tokenization more accessible to institutions, which often require familiar controls, governance, and operational guarantees similar to traditional market plumbing.