Ripple XRP Ledger Tokenized Treasuries Surge 416% Yield

Coin WorldFriday, Mar 7, 2025 12:50 am ET
1min read

Ripple has recently partnered with Ondo Finance to introduce tokenized U.S. Treasuries to the XRP Ledger (XRPL). This collaboration aims to enhance efficiency, security, and transparency in capital markets, making one of the safest asset classes in the world more accessible to institutional investors.

U.S. Treasuries are traditionally considered one of the most secure investment vehicles globally. However, access to these assets is often constrained by operational inefficiencies, including settlement delays and limited market hours. The partnership between Ripple and Ondo Finance seeks to address these issues by leveraging blockchain technology. This transition allows investors to access U.S. Treasuries at any time, improving liquidity and reducing counterparty risk.

Ondo Finance’s OUSG fund, which is already integrated with Ethereum, Polygon, and Solana, is backed by BlackRock’s USD Institutional Digital Liquidity Fund. The decision to integrate with the XRPL further broadens the accessibility of tokenized treasuries, positioning the ledger as a preferred infrastructure for institutional finance. The OUSG fund currently offers a 4.16% yield with $184 million locked, highlighting its attractiveness to investors.

For institutional investors, the XRP Ledger offers several key advantages, including security, compliance, and efficiency. The ledger’s built-in features, such as Decentralized Identifiers and onchain credential management, provide a strong foundation for regulated financial instruments. These capabilities reinforce trust in the XRPL as a viable platform for large-scale institutional adoption.

Compared to other blockchain networks, the XRPL offers advantages in speed and cost. This efficiency can prove critical in attracting institutional participants who seek to optimize their financial operations. The XRPL’s built-in decentralized exchange (DEX), automated market maker (AMM), price oracles, and forthcoming lending protocol further enhance its appeal as a comprehensive financial ecosystem.

The integration of tokenized assets into the XRPL sets the stage for a broader transformation of capital markets. The advantages of blockchain technology, such as settlements in seconds instead of days, 24/7 trading, lower costs, and greater transparency, align with the digital transformation of financial services. This transformation has the potential to reshape how assets are issued, traded, and settled.

Katie Wheeler, VP of Partnerships at Ondo Finance, underscores the significance of this