Ripple Joins BlackRock, Standard Chartered in New Tokenization Report
Ripple has joined forces with BlackRock and Standard Chartered to contribute to a new white paper on tokenization commissioned by the Dubai Financial Services Authority (DFSA).
The white paper brings together insights from leading practitioners across the financial services ecosystem to discuss the responsible scaling of tokenised financial assets.
It examines the conditions necessary for this growth, particularly within the Dubai International Financial Centre (DIFC), a major financial hub.
The report highlights that tokenization could offer greater access for investors, increased efficiency for issuers, and reduced risk in settlement processes.
On-chain utility and growth
Reece Merrick, Ripple's Managing Director for the Middle East & Africa, argues that the real shift is not just in asset management but in on-chain utility.
"The real shift is not just tokenized treasuries and MMFs (Money Market Funds) gaining AUM but rather their on-chain utility as collateral in repo and margin without needing to redeem to cash first."
Merrick anticipates massive growth in this area over the next 12 months, predicting a significant portion will occur on the XRP Ledger.
He believes that with clear frameworks, institutional custody, and trusted settlement assets like RLUSD, the UAE and DIFC are well-positioned for this next phase.
Market forecasts
Forecasts for the future size of tokenised assets vary widely, with the Citi Institute projecting a market value of $5.5 trillion by 2030.
A separate paper from Standard Chartered and Synpulse estimates that demand could reach $30.1 trillion by 2034.
The DFSA report aims to provide the regulatory clarity and infrastructure needed to realize these potential market expansions.
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