Ripple has taken a significant step in bridging traditional finance with blockchain by bringing Ondo Finance’s tokenized US Treasuries—known as OUSG—to the XRP Ledger (XRPL). This move positions XRPL as a competitive platform for real-world asset (RWA) tokenization, offering institutional investors a seamless, 24/7 gateway to US Treasury exposure using Ripple’s new stablecoin, RLUSD .
What’s New?
• Tokenized Treasuries on XRPL: Ondo Finance’s OUSG, a short-term US Government Treasuries product, is now live on the XRP Ledger. Qualified institutional investors can mint and redeem OUSG tokens at any time, using RLUSD as the settlement asset .
• Instant Access and Settlement: Unlike traditional finance, which is limited by banking hours and slow settlement cycles, XRPL enables real-time issuance and redemption of OUSG. This means institutions can manage liquidity and cash flow more efficiently, with capital available around the clock .
• Liquidity and Compliance: Ripple and Ondo have committed liquidity to ensure robust trading activity from launch. RLUSD acts as a stable bridge for settling real-world assets, supporting compliance and operational efficiency for institutional users .
• Market Impact: OUSG is already one of the largest tokenized Treasury products globally, with over $670 million in assets across multiple blockchains and $30 million already on XRPL. Ondo’s total value locked (TVL) in tokenized finance exceeds $1.3 billion, highlighting the growing demand for on-chain financial instruments .
Why Does It Matter?
This integration is more than a technical upgrade—it’s a strategic move to modernize fund distribution and settlement. By enabling trusted, low-risk assets like US Treasuries to be accessed on public blockchains, Ripple and Ondo are opening the door for greater liquidity, faster access to capital, and improved operational efficiency for institutions worldwide .
Markus Infanger, Senior Vice President at RippleX, emphasized that institutions can now rely on high-quality assets on public blockchains, marking a shift from theory to practice in tokenized finance .
XRPL’s Growing Role in Asset Tokenization
The launch of OUSG on XRPL aligns with Ripple’s broader push to make the network a hub for tokenized real-world assets. Recent partnerships, including those with major asset managers, signal that the market for tokenized assets could reach $19 trillion by 2033. XRPL’s ability to support instant, compliant, and composable financial products is attracting both traditional and crypto-native institutions .
