Ripple focuses on tokenization and stablecoins in the XRP ledger’s institutional DeFi plan.Ripple focuses on tokenization and stablecoins in the XRP ledger’s institutional DeFi plan.

Ripple focuses on tokenization and stablecoins in the XRP ledger’s institutional DeFi plan

Ripple, the firm that offers its users a blockchain-based digital payment network, has shifted its focus towards stablecoins and tokenized real-world assets (RWAs)  as a strategy for the XRP Ledger’s Institutional DeFi Plan.

Notably, recent reports have revealed that the XRP Ledger (XRPL) has exceeded $1 billion in stablecoin transactions within one month. Additionally, it secured a position in the top ten chains for RWA activity, increasing its importance in institutional adoption.

Ripple stated that tokenized assets and stablecoins are no longer viewed as just experiments. According to its roadmap, they are becoming crucial tools for fintech firms, asset managers, and banks.  

In the meantime, the company has made public its intention to establish XRPL as the foundation for issuing, trading, and managing these assets on a large scale.

Ripple implements several developments in its operation 

The native lending protocol is a significant feature that will be launched soon with XRPL version 3.0.0, marking a significant milestone in the crypto ecosystem, directly enabling pooled lending and underwritten credit on the ledger.

This protocol was developed to offer affordable loans while strictly adhering to the regulations. Under it, institutions will acquire funding more easily while following KYC and AML requirements.

Concerning Ripple’s recent milestone, the firm had showcased payments for stablecoin transfers, demonstrating real developments in settlement technology.

Apart from the native lending protocol, compliance tools are another crucial aspect. Ripple has reportedly introduced credentials that relate to decentralized identifiers, globally unique identifiers that enable an entity to be identified in a verifiable manner. This, therefore, grants Ripple’s trusted issuers the ability to verify their accreditation level or KYC status.

The Deep Freeze tool, on the other hand, will enable issuers on the XRP Ledger to avoid carrying out operations on flagged accounts. Other features, such as Permissioned DEXs and Token Escrow, which will also be incorporated in the system, provide more control while ensuring the system remains decentralized.

For Ripple, its key priority is to ensure privacy for its clients. To embrace this focus, the company developed zero-knowledge proofs (ZKP) technology to keep information private while still allowing for audits. Initially, Ripple had planned to create private Multi-Purpose Tokens that would allow its customers to trade assets secretly while still complying with the relevant rules.

This approach effectively satisfies both the need for consumer privacy protection and adherence to regulatory requirements. Meanwhile, it is worth noting that the Multi-Purpose Token (MPT) standard plays a key part in these changes.

Ripple establishes an increased adoption of blockchain technology in various sectors 

MPTs can allow the representation of complicated financial items such as bonds, funds, or structured products on the XRPL. Additionally, institutional markets prefer it because they do not depend heavily on complex smart contracts and include various metadata. 

To illustrate the growing popularity of tokenized assets in regulated spaces, Ripple recently expanded its RLUSD into Aave’s Horizon RWA market.

Ripple’s roadmap also includes updates such as tools for batching transactions, delegating permissions, and making extensions. These tools help maintain XRPL fees low and enable quick settlements. 

The EVM sidechain provides developers more flexibility and supports Solidity and XRPL liquidity. With these updates in place, Ripple establishes a future whereby banks and asset managers can trust blockchain technology as their preferred payment method for loans and asset trading.

The smartest crypto minds already read our newsletter. Want in? Join them.

Market Opportunity
XRP Logo
XRP Price(XRP)
$1.9021
$1.9021$1.9021
-1.67%
USD
XRP (XRP) Live Price Chart
Disclaimer: The articles reposted on this site are sourced from public platforms and are provided for informational purposes only. They do not necessarily reflect the views of MEXC. All rights remain with the original authors. If you believe any content infringes on third-party rights, please contact [email protected] for removal. MEXC makes no guarantees regarding the accuracy, completeness, or timeliness of the content and is not responsible for any actions taken based on the information provided. The content does not constitute financial, legal, or other professional advice, nor should it be considered a recommendation or endorsement by MEXC.

You May Also Like

Gold edges higher as Fed easing outlook cushions downside

Gold edges higher as Fed easing outlook cushions downside

The post Gold edges higher as Fed easing outlook cushions downside appeared on BitcoinEthereumNews.com. Gold trades near $3,670 on Friday, snapping a two-day losing streak after the Fed’s interest rate cut. The US Dollar and Treasury yields extend post-Fed rebound as Powell’s tone proved less dovish than expected. Gold remains cushioned as markets anticipate two more Fed rate cuts by year-end. Gold (XAU/USD) regains ground on Friday, snapping a two-day losing streak after a volatile midweek reaction to the Federal Reserve’s (Fed) interest rate decision. At the time of writing, XAU/USD is trading around $3,668 during the American session, up nearly 0.65%. On Wednesday, the US central bank lowered the federal funds rate by 25 basis points (bps) to the 4.00%-4.25% range, a move that was fully priced in. The metal briefly spiked to a fresh all-time high near $3,707 in the immediate aftermath, but the gains quickly faded as Fed Chair Jerome Powell’s press conference struck a less dovish tone, triggering a sharp recovery in the US Dollar (USD) and Treasury yields. Chair Jerome Powell said the Fed does not feel the need to move quickly on rates, describing the latest move as a “risk-management cut” aimed at cushioning the economy amid signs of a slowing labor market. He added that policy is “not on a preset course” and will remain data-dependent, signaling a cautious approach rather than an aggressive easing cycle. Friday’s rebound in XAU/USD comes in spite of a firmer US Dollar and rising Treasury yields, as traders weigh the implications of the Fed’s monetary policy outlook. Markets are already pricing in the possibility of two more cuts by year-end, which in turn cushions downside risks for bullion, but elevated yields and a resilient Greenback keep the near-term outlook capped, limiting room for further gains. Market movers: US Dollar firms with higher yields, Fed projects gradual easing Minneapolis Fed President Neel…
Share
BitcoinEthereumNews2025/09/20 04:28
Flare Mainnet Launches FXRP, Bringing XRP Into DeFi

Flare Mainnet Launches FXRP, Bringing XRP Into DeFi

The post Flare Mainnet Launches FXRP, Bringing XRP Into DeFi appeared on BitcoinEthereumNews.com. Flare’s FAssets protocol converts cryptocurrencies like XRP that aren’t smart contract enabled into assets that can be utilized in DeFi on Flare and other applications. To guarantee FAssets maintain the highest levels of safety, trust, and dependability for both institutions and the XRP community, the Flare Foundation will keep making investments in strong, scalable security mechanisms. FAssets, beginning with FXRP v1.2, are now live on the Flare mainnet. Now that the first FAsset has finally been launched, holders of XRP may mint FXRP on Flare and begin using XRP throughout Flare DeFi. The XRP DeFi awakening is just getting started. A quick refresher on FAssets Flare’s FAssets protocol converts cryptocurrencies like XRP that aren’t smart contract enabled into assets that can be utilized in DeFi on Flare and other applications. They are one-to-one copies of the original asset (XRP to FXRP, for example), protected by Flare’s codified data standards and an overcollateralized structure of independent agents. As a consequence, Flare’s composable decentralized financial ecosystem, which includes DEX trading, lending, stablecoin minting, liquid staking, and other use cases, becomes fully accessible to non-smart contract assets. FAssets are built for composability. FXRP may travel freely within Flare’s DeFi ecosystem when it is minted. This eliminates the need for unique workarounds and enables protocols to use FXRP directly as a native building block. How is FXRP secured? FAsset security is a continuous effort rather than a one-time achievement. In addition to Immunefi-powered bug bounties and community-driven evaluations like Code4rena, the system has already completed at least four independent audits by reputable companies like Zellic and Coinspect. Additionally, Hypernative keeps a close eye on the FAssets system and the DeFi apps on Flare around-the-clock. Comprehensive security and fast reaction procedures are also in place. Why are there so many layers? Because FAssets oversee high-value, intricate processes…
Share
BitcoinEthereumNews2025/09/25 04:24
FET Price Prediction: Can Bulls Break $0.70 Resistance to Approach $1.60?

FET Price Prediction: Can Bulls Break $0.70 Resistance to Approach $1.60?

Artificial Superintelligence Alliance (FET) is trading under increasing bearish pressure with the overall market. The FET price over the last 24 hours is down by 4.58%, and over the last week it is also down by 4.66%. At the time of writing, FET is trading at $0.6479 with a 24-hour trading volume of $105.46 million, […]
Share
Tronweekly2025/09/20 20:00