Ripple has made strategic investments in two companies focused on digital capital markets infrastructure (CMI): ZILO and Licuido. The move is designed to bring regulated transfer agency, token issuance, and collateral mobility features to institutional finance on the XRP Ledger.
What ZILO and Licuido bring
ZILO and Licuido specialize in building the plumbing for digital capital markets — think tokenized securities, automated settlement, and collateral management. By backing them, Ripple aims to plug those capabilities directly into the XRP Ledger, making it easier for banks and financial institutions to issue and manage tokenized assets.
ZILO focuses on transfer agency and token issuance, while Licuido works on collateral mobility. Together, they cover a big chunk of what institutions need to move real-world assets onto a blockchain.
Why tokenization on XRP Ledger
Ripple has been pushing the XRP Ledger as a platform for tokenization beyond just payments. These investments signal a bet that regulated, institutional-grade tokenization will be a major use case for the ledger. The company is essentially building out the infrastructure layer so that banks don't have to start from scratch.
The XRP Ledger already handles fast, low-cost transactions. Adding transfer agency and collateral mobility features could make it more attractive for issuing tokenized bonds, funds, or other financial instruments.
Ripple hasn't disclosed the size of the investments or a timeline for when the new features will go live. But the company has made clear that it sees tokenization as a key growth area. With ZILO and Licuido, it's betting on a future where more of the financial system runs on the XRP Ledger.
For now, the focus is on integrating the two firms' technology and getting it ready for regulated institutions. How quickly that happens — and whether other players in the space follow Ripple's lead — remains an open question.
