tl;dr
Guggenheim Partners, through its subsidiary Guggenheim Treasury Services, is partnering with Ripple to issue tokenized US commercial paper on the XRP Ledger with maturities up to 397 days, fully backed by US Treasurys. Ripple is investing $10 million in the asset and the product may be purchasable w...
Guggenheim Partners, via its subsidiary Guggenheim Treasury Services, is collaborating with Ripple to issue tokenized US commercial paper on the XRP Ledger (XRPL). These commercial papers have maturities customizable up to 397 days and are fully backed by US Treasurys.
Ripple is investing $10 million in this asset issuance, supporting the expansion of real-world asset (RWA) tokenization. This initiative follows Guggenheim’s prior pioneering effort that tokenized $20 million worth of commercial paper on the Ethereum blockchain, marking an early foray into on-chain debt instruments.
The growing institutional interest in blockchain-based fixed-income products is evident as the RWA market surpasses $10 billion in total value locked, mainly dominated by tokenized US Treasurys. Asset managers are increasingly employing tokenized Treasurys and money market funds to modernize distribution and settlement processes.
Major financial incumbents such as BlackRock and Franklin Templeton have responded to this trend by launching blockchain-native, cash-equivalent funds, signaling widespread industry adoption of blockchain technologies. Tokenization platforms like Securitize are also helping reduce barriers to entry for investors.
The Ripple-Guggenheim partnership exemplifies a significant industry shift toward integrating blockchain technology to achieve improved transparency, operational efficiency, and broader access in fixed-income markets. Notably, the new tokenized commercial paper may be purchasable with Ripple's stablecoin RLUSD, which has achieved over $300 million in supply across Ethereum and XRP Ledger networks since its launch.