Ripple announced on August 3rd its strategic investments in Zilo and Lucuido, two companies focused on developing infrastructure for tokenized funds and institutional asset trading. This move is part of Ripple’s broader strategy to expand its digital capital markets offerings.
Zilo specializes in transfer agency and fund administration technology for tokenized funds, while Lucuido operates an FCA-regulated platform designed for the issuance, distribution, trading, and collateralization of digital assets. The integration of these capabilities into Ripple’s XRP Ledger infrastructure aims to enable institutions to issue, hold, move, and utilize tokenized assets as collateral more efficiently.
Nigel Khakoo, SVP, Trading and Markets at Ripple, stated that Zilo and Lucuido provide essential capabilities for scaling the shift towards tokenized assets, including regulated digital transfer agency infrastructure and liquidity for issuance and collateral mobility. He added that these investments are just the beginning and represent a significant opportunity to bring efficiencies to the investment sector over the next decade.
These acquisitions are intended to allow asset managers to leverage these tools at scale. Ripple plans to integrate Zilo’s transfer agency and fund administration technology and Lucuido’s platform for digital asset issuance and trading into its XRP Ledger infrastructure. This integration will facilitate institutions in issuing, holding, moving, and using tokenized assets as collateral.
RLUSD is positioned to serve as the regulated cash component for delivery-versus-payment transactions on the XRP Ledger, enabling the asset and payment sides of a trade to settle together. This development builds on Ripple’s existing work with institutional partners such as Aviva Investors, Franklin Templeton, and DBS on tokenized fund and collateral projects.
In recent months, Ripple has also launched Ripple Mint and made an investment in the compliance provider Notabene, further strengthening its institutional offerings in digital capital markets. These initiatives collectively aim to enhance the infrastructure available to institutions utilizing RLUSD.
The size of the investments in Zilo and Lucuido was not disclosed.
Why This Matters
The materials describe a narrow update: Ripple has invested in Zilo and Lucuido, companies focused on infrastructure for tokenized funds and institutional asset trading. The size of the investments in Zilo and Lucuido was not disclosed.
Broader Context
Source materials place the factual news in this context: Ripple has expanded its digital capital markets strategy.
Leave a Reply