Ripple Announces Support for UK Treasury’s £33 Billion Tokenization Plan

Ripple announces support for the HM Treasury’s Wholesale Digital Markets taskforce and new tokenization strategy to scale tokenization in the UK. The blockchain payments firm is one of the leaders in offering tokenization services over its XRP Ledger (XRPL).

Ripple Joins Taskforce to Boost UK Treasury’s Tokenization Strategy

Ripple to work with Chris Woolard, the Wholesale Digital Markets Champion at HM Treasury, to boost the UK’s tokenized financial markets. The crypto payments firm stated that traditional financial funds, bonds, and repo are already available on-chain, outperforming tradFi systems in cost, speed, and efficiency.

“They’re already happening, delivering onchain financial instruments that are cheaper, better and faster than their legacy equivalents,” Ripple stated.

The UK tokenized real-world assets market is expected to reach £33 billion in annual economic output by 2035. The country has the capital market depth and regulatory credibility to be a global leader in tokenization.

As a member of HM Treasury’s cross-industry Wholesale Digital Markets Taskforce, Ripple is contributing to building secondary markets, tokenizing collateral, and issuing the UK Digital Gilt instrument DIGIT over the next 12 months.

TradFi and Crypto Industries Taskforce and its Strategic Impact

The tokenized real-world assets market is expected to reach at $88 trillion by 2035. In addition to the benefits of tokenization, HM Treasury’s plan could generate £14 billion in annual tax revenue by 2035. Earlier this year, Ripple partnered with Aviva Investors to launch tokenized traditional fund products on the XRP Ledger.

The UK government aims to transform wholesale finance through distributed ledger technology such as Ripple’s XRP Ledger. The plan needs to ensure interoperability and replace outdated processes for broader sector-wide digitalization.

Ripple and the taskforce will also help establish the repo use case, completing tests and run a live trial by spring 2027. “We will consider the possibility of exploring additional asset classes, such as commodities, across the course of the year,” as per HM Treasury.

As CoinGape earlier reported, tokenized RWAs on the XRP Ledger grew from $150 million to $4 billion in just a year. Notably, more than 500 products now live on XRPL, with JMWH and Ondo Short-Term Government Bond Fund representing nearly $2.5 billion in value.