Tokenized U.S. Treasury Product OUSG Launches on XRP Ledger (XRPL)

This move follows a joint report by Ripple and Boston Consulting Group, which predicts a $19 trillion tokenized asset market by 2033.

Ondo Finance has launched its tokenized U.S. Treasury product, OUSG, on the XRP Ledger (XRPL). The move follows a joint report by Ripple and Boston Consulting Group, which predicts a $19 trillion tokenized asset market by 2033.

One of the largest tokenized U.S. Treasury products with over $670 million in total value locked, OUSG now allows Qualified Purchasers to subscribe and redeem tokens on XRPL using RLUSD, Ripple’s new stablecoin. This process works around the clock, bypassing traditional banking hours.

XRP Ledger Enables Institutional Tokenized Treasuries

The XRP Ledger features several aspects aimed at institutional use. These include built-in support for tokenization, a decentralized exchange, and compliance tools like Decentralized Identifiers. Ripple and Ondo are also providing liquidity to support early adoption.

🔥 NOW: Ondo Finance's tokenized US Treasuries go live on XRP Ledger, enabling institutional access through seamless minting and redemptions via Ripple's $RLUSD.https://t.co/yGZo6I4J37https://t.co/Z079H9298G

Earlier this week, we jointly announced a $19T tokenized asset market by 2033.

— Ripple (@Ripple) August 17, 2023

The shift marks a growing trend of institutions moving real-world assets onto public blockchains. With more than $1.3 billion in TVL across its products, Ondo Finance has been active in pushing tokenized treasuries forward. Other asset managers like BlackRock and Franklin Templeton have launched similar products.

You may find it interesting at FinanceMagnates.com: Ripple’s XRP Adoption Grows: Mastercard Highlights SBI Remit as SWIFT Speculation Builds.

XRPL Enhances Liquidity and Settlement Efficiency

According to the BCG report, tokenized treasuries are among the most widely adopted real-world assets onchain. Their lower risk and high utility make them a key entry point for traditional finance.

Bringing OUSG to XRPL offers institutions new liquidity and settlement options. The tokenized format allows for faster fund redeployment and greater capital efficiency, especially across borders. XRPL’s upcoming features, including support for lending and permissioned domains, are expected to further support this growth.