Ripple and Aviva Investors Tokenize £22 Billion Sterling Liquidity Fund on XRP Ledger

Ripple and Aviva Investors have expanded their tokenization partnership with the launch of a tokenized share class for the Aviva Investors Sterling (GBP) Liquidity Fund on the XRP Ledger (XRPL). Announced on October 26, 2026, the launch brings blockchain-based access to an existing money market fund with approximately £22 billion in assets under management.

The development marks Aviva Investors’ second tokenized fund offering, following the launch of a tokenized share class for its US dollar liquidity fund in July 2026. According to the announcement, the firm’s two tokenized offerings now hold more than £86 million, equivalent to approximately $116 million, in combined investments.

Aviva has also invested £50 million, or approximately $66 million, in the newly launched sterling share class. The commitment gives the asset manager a direct financial stake in the expansion of its tokenized fund strategy, rather than positioning the initiative solely as a technology experiment.

Aviva Expands Tokenized Money Market Funds on XRPL

The Sterling Liquidity Fund is an Ireland-domiciled Undertakings for Collective Investment in Transferable Securities (UCITS) money market fund that was originally launched in 2002. It seeks low-risk returns and daily liquidity by investing in high-grade, short-term debt instruments denominated in British pounds.

The new share class uses a model described as a digital twin. Under this structure, fund holdings can be represented on a blockchain while the underlying investment vehicle and its conventional legal and operational arrangements remain in place.

This distinction matters because tokenizing a fund does not necessarily mean its underlying investments have moved entirely on-chain. Instead, the blockchain provides a digital access and recordkeeping layer for eligible investors, while the existing fund structure continues to govern the underlying assets.

Aviva Investors says the tokenized share class retains the conventional fund’s investment objective, risk profile, liquidity characteristics and regulatory protections. The offering is available to eligible investors with digital wallets, rather than being open to every cryptocurrency holder.

Komainu, a regulated institutional digital asset custodian, and Licuido, a digital infrastructure platform for tokenizing and trading real-world assets, supported the launch. The announcement also identifies BNY Mellon as the fund’s custodian, maintaining an established institutional custody arrangement alongside the blockchain-based share class.

Ripple Targets Institutional Adoption Through XRP Ledger

The launch strengthens the XRP Ledger’s position in the market for tokenized financial products. XRPL enables Aviva Investors to issue and manage the tokenized share class using blockchain transactions, offering an alternative digital infrastructure layer for fund administration and distribution.

Ripple says the network provides fast, low-cost and energy-efficient transactions. The company’s announcement also states that XRPL has processed more than four billion transactions, supports nearly eight million active wallets and is maintained by more than 130 independent validators.

For Ripple, the partnership demonstrates how traditional investment products can incorporate blockchain technology without requiring asset managers to abandon established regulatory and custody arrangements. The strategy focuses on connecting existing financial products with digital infrastructure rather than replacing conventional funds with cryptocurrency-native alternatives.

Aviva Investors CEO Mark Versey said the second launch reflects the firm’s intention to expand its tokenization capabilities, with potential efficiency gains and improved client outcomes among its objectives. Ripple executive Nigel Khakoo pointed to the possibility of around-the-clock market access and faster settlement through blockchain-based infrastructure.

The announcement does not establish that the tokenized fund guarantees higher returns or that every transaction settles instantly. Its longer-term impact will depend on investor demand, operational performance and the ability to integrate tokenized shares into existing financial workflows.

Still, the £50 million investment and the expansion to a second fund give the initiative a concrete institutional foundation. As asset managers explore tokenization, Aviva Investors and Ripple are testing how established money market products can reach eligible investors through blockchain infrastructure while preserving their existing investment structures.