On May 6, 2026, a pilot involving JPMorgan, Mastercard, and Ripple successfully settled a cross-border transaction using a tokenized U.S. Treasury fund on the XRP Ledger. The asset leg processed in under five seconds, while the cash leg moved through multiple networks to deliver USD to Ripple's Singapore bank account. Ondo Finance, the issuer of the tokenized fund, called it the first near-real-time, cross-border, cross-bank redemption of its kind.
The three-part settlement structure
The pilot split the transaction into three distinct legs. The asset leg ran on the XRP Ledger, where Ripple redeemed part of its Ondo Short-Term U.S. Government Treasuries (OUSG) holdings. XRP Ledger's typical ledger closure time of three to five seconds made the sub-five-second processing possible. The instruction leg moved through Mastercard's Multi-Token Network. The cash leg traveled via J.P. Morgan's Kinexys platform and its correspondent banking network, ultimately crediting USD to Ripple's bank account in Singapore.
Who did what
Ripple initiated the redemption of its OUSG holdings. Ondo Finance, which launched its tokenized Treasury product on XRP Ledger in June 2025, facilitated the asset side. Mastercard's Multi-Token Network handled the instructions. J.P. Morgan's Kinexys and its correspondent banking network managed the cash movement. The test builds on earlier work: in 2025, Kinexys completed a tokenized Treasury settlement test with Ondo and Chainlink using a delivery-versus-payment structure. Mastercard also designated Ondo as the first tokenized real-world asset provider on its Multi-Token Network.
What OUSG is and who can use it
OUSG is a qualified-access product, meaning only eligible investors who complete Ondo's onboarding process can hold or redeem it. The fund invests in short-term U.S. government Treasuries. Its minting and redemption on XRP Ledger are tied to Ripple's RLUSD stablecoin.
The pilot demonstrates that tokenized assets can move across borders and settle in seconds rather than days. Traditional correspondent banking often takes one to three days. By splitting settlement into separate legs, each network played to its strength: XRP Ledger for speed, Mastercard for instruction routing, and J.P. Morgan for fiat cash movement. Ondo Finance described the transaction as a milestone in bridging tokenized real-world assets with existing banking rails.
No timeline has been announced for commercial rollout. The pilot involved a single redemption of OUSG by Ripple. Whether other qualified investors will gain similar access through these networks remains an open question.
