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Aviva Investors and Ripple have launched a tokenized share class of Aviva's £22 billion ($29.4 billion) Sterling Liquidity Fund on the XRP Ledger. Aviva invested £50 million ($66.7 million) in the new share class, bringing its investment across two tokenized money-market fund offerings to more than £86 million ($114.8 million). The fund offers daily liquidity and invests in high-grade, sterling-denominated short-term debt.
Why it matters
The launch puts a major European asset manager's existing money-market product on blockchain rails without changing its core structure. Under Aviva's digital twin model, investors' holdings are represented onchain while the fund continues to operate offchain. The tokenized shares carry the same investment objective, risk profile, liquidity characteristics, and regulatory protections as the conventional fund.
The Sterling Liquidity Fund is domiciled in Ireland and operates as a UCITS money-market fund. Investors need an eligible digital wallet to access the tokenized share class. BNY Mellon holds the fund's assets, while digital asset custodian Komainu and digital infrastructure platform Licuido also supported the launch.
Market impact
The offering is the second tokenized fund share class Aviva has launched on the XRP Ledger, following its U.S. dollar liquidity fund share class in July with approval from the Central Bank of Ireland. It expands Ripple's institutional fund-tokenization relationship with Aviva, which began in February when the asset manager became Ripple's first European investment management partner.
Aviva Investors CEO Mark Versey said tokenized funds can increase efficiency and improve client outcomes. The firm plans to explore further tokenization opportunities with Ripple, making the launch a concrete step in its broader shift toward onchain access to traditional fund products.
Frequently asked questions
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What did Aviva Investors and Ripple launch on the XRP Ledger?
They launched a tokenized share class of Aviva's £22 billion Sterling Liquidity Fund, representing investors' holdings onchain while the fund continues to operate offchain.
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How much did Aviva invest in the new tokenized fund share class?
Aviva invested £50 million, or $66.7 million, in the new Sterling Liquidity Fund share class.
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How much has Aviva invested across its tokenized money-market funds?
Aviva has more than £86 million, or $114.8 million, invested across two tokenized money-market fund offerings.
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Do the tokenized shares change the fund's risk or liquidity profile?
No. Aviva said the tokenized shares retain the same investment objective, risk profile, liquidity characteristics, and regulatory protections as the conventional fund.
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Which firms supported the XRP Ledger fund-tokenization launch?
BNY Mellon holds the fund's assets, while digital asset custodian Komainu and digital infrastructure platform Licuido also supported the launch.
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