Aurum’s $1 billion fund represents the world’s first combined equity and debt effort, tokenized on the XRP Ledger, to invest in global data centers. Tokenization on XRPL enables efficient 24/7 settlement and liquidity management, strengthening Ripple’s role in real-world asset tokenization.
Private equity firm Aurum Equity Partners has announced the launch of a $1 billion tokenized equity and debt fund on the XRP Ledger (XRPL) network. This development is consistent with previous research reports by CNF. In this research report, the XRP community collaborated with Flare and Ripple to explore native staking on XRPL.
Billed as “the world’s first combined equity and debt tokenized fund,” the fund focuses on investments in data centers located in the United States, United Arab Emirates, Saudi Arabia, India, and Europe. The initiative is a collaboration with Zoniqx, a San Francisco-based tokenization service provider, to create security tokens that represent the underlying financial instruments.
The fund leverages XRPL’s enterprise blockchain capabilities and strengthens Ripple’s goal to capture a share of the real world asset (RWA) tokenization market. Tokenization is gaining momentum among institutional investors seeking more efficient operations and faster payment capabilities 24/7.
By putting traditional financial products like bonds, credit, and stocks on blockchain rails, companies are entering a space that McKinsey, BCG, 21Shares, and Bernstein predict will grow into trillions of dollars over the next few years. I am doing it. Ripple CTO David Schwartz highlighted the role of XRPL in efficiently processing and managing transactions, making it an ideal platform for this type of tokenized financial product. Ta.
Ripple’s Expanding Role in Tokenization and Stablecoins
Ripple is also awaiting approval from regulators in New York to issue a USD stablecoin that will enhance liquidity and support the tokenization of financial assets on the XRPL network. Ripple Labs President Monica Long emphasized the importance of the stablecoin in increasing liquidity for institutional investors at the company’s Swell conference.
Tokenization, especially in private equity, addresses issues of illiquidity and limited access in traditional markets. Schwartz added that Aurum and Zoniqx’s efforts demonstrate that real-world assets can be more effectively managed through decentralized blockchain technology and highlight the role of XRPL in this growing field.
Is this part of Ripple Swell 2024, as CNF recently revealed? However, at the time of writing, Ripple (XRP) is trading at $0.5319, down 2.18% over the past day and 2.16% over the past week, according to data from CoinMarketCap.
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