On July 29, Ripple and Aviva Investors, the global asset management business of Aviva plc, announced the launch of a tokenized share class for the Aviva Investors USD Liquidity Fund on the $XRP Ledger blockchain. This launch turns their February partnership into a real investment product.
The digital share class retains the investment objectives, risk profile, liquidity characteristics, and regulatory protections of traditional funds, while leveraging blockchain infrastructure for issuance and administration.
Mark Versey, CEO of Aviva Investors, stated:
"We are delighted to announce the launch of our first fund foray into tokenization with the addition of a new tokenized share class to our USD Liquidity Fund."
Aviva characterized this launch as "the first tokenization of an Aviva Investors fund" following the establishment of its partnership with Ripple earlier this year. Eligible investors can hold shares of this class in digital wallets, while the underlying portfolio remains with the fund's traditional custodian. Komainu, a regulated institutional digital asset custodian, provides custody for the tokenized share class, and Licuido, a blockchain infrastructure provider, supplies the technology for issuing and managing the fund's shares on-chain.
This launch marks the initial phase of a broader Aviva and Ripple partnership, which outlined plans to house regulated fund structures on the XRPL in 2026 and beyond. Aviva's first launched product lays the groundwork for additional tokenized offerings while maintaining established investor protection mechanisms. The collaboration between the two companies is Ripple's first partnership with a European asset manager. The completion of the launch transitions the relationship from the development stage to the actual distribution stage, providing eligible institutions with access to a traditional short-term portfolio through blockchain-based fund shares.
Irish Regulator Provides Stability for Tokenized Structure
Regulatory oversight remains central to the product's operation, which functions through an Irish fund structure within the established investment system. On the Irish Central Bank's register of funds, Aviva Investors Liquidity Funds plc is listed as an authorized Undertakings for Collective Investment in Transferable Securities, commonly known as UCITS, with the dollar fund being one of its approved sub-funds.
Aviva stated:
"The new tokenized share class has also been approved by the Central Bank of Ireland (CBI), marking the first-ever regulation of tokenized fund structures."
The Central Bank's approval provides governance, asset safekeeping, and investor protection within a regulated structure, while tokenization changes the way ownership rights are recorded and administered. This model may appeal to institutional investors seeking improved operational efficiency without moving beyond established money market mechanisms.
XRPL Gains Another Institutional Fund Product
The XRPL supports the issuance and management of tokenized shares thanks to low-cost transactions and infrastructure designed for regulated financial markets. Aviva reported that the ledger has processed over 4 billion transactions, supports nearly 8 million active wallets, and relies on more than 130 independent validators.
This launch follows the debut of the first tokenized money market fund on the XRPL, where abrdn's dollar liquidity product was placed on the network via the Archax tokenization platform. Aviva's entry adds another institutional offering, combining an Irish UCITS structure, access to digital wallets, and regulated asset custody.
Broader development on the XRPL's growing tokenized asset market includes funds, securities, repurchase agreements, and loans. Aviva's share class adds a cash management product that provides eligible investors with a tokenized claim on a diversified portfolio, while maintaining the risk and liquidity profile of a traditional fund.
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