XRP Ledger Hosts First Tokenized Funds Worth $1 Billion

In an unusual push for mainstream adoption, Aurum Equity Partners has launched a $1 billion tokenization fund on the XRP Ledger

Aurum Equity Partners, an investment bank, has launched a tokenized fund worth $1 billion on XRP Ledger (XRPL). This fund is the first globally to tokenize both equity and debt. This initiative allows investors to manage both equity and debt using tokenization in a single, innovative model.

Merging Equity and Debt: A Game Changer for Investors

Aurum Equity Partners is setting a new standard. The firm’s latest venture aims to simplify how investors deal with private equity and debt, traditionally complex and hard-to-trade assets. The firm plans to build data centers in regions like the U.S., UAE, and India. This development would strengthen its push into the tokenization and crypto industry.

A key part of this plan is using Zoniqx’s technology to tokenize equity and debt and bring Real-World Assets (RWA) onto the blockchain. The solution will also enable a flexible investment model that allows both asset types to interact easily.

Aurum’s $1 billion fund launch comes when interest in RWA tokenization grows rapidly. Reports predict the RWA market will reach trillions as more institutions use blockchain for bonds and equities. 

Ripple Labs is also tapping into this trend with RLUSD stablecoin. It noted that this stablecoin will boost liquidity and speed up tokenization across Ripple’s network. Despite ongoing legal issues with the SEC, Ripple remains focused on advancing in the RWA tokenization space.

XRP Ledger and the Tokenization of Real-World Assets

At the heart of this initiative lies the XRP Ledger, a decentralized Layer 1 blockchain known for its stability and reliability in crypto and traditional finance. Its recent partnership with MetaMask expands access for developers and retail users. 

Ripple CTO David Schwartz sees XRPL as the key to private equity tokenization. He believes it could help tackle market illiquidity and democratize access to assets. Aurum’s launch of this hybrid fund is a real-world example of this emerging use case.

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