Ripple and Archax Collaborate to Launch $100M+ in Tokenized Assets on XRPL

• Ripple has renewed a 2022 partnership with Archax as part of the plans to attract millions of dollars to XRPL by next year.
• Archax has also announced its acquisition of Spanish broker King & Shaxson Capital Markets (KSCM).

Ripple (XRP) has announced an extension of its earlier partnership with the UK’s regulated custodian Archax to drive hundreds of millions of dollars of tokenized Real World Assets (RWA) to the XRP Ledger (XRPL). According to the report, this would also establish the XRPL as one of the leading blockchains for RWA.

In 2022, Ripple and Archax established their first partnership when Archax joined hands with Metaco to provide digital asset custody services to clients. Meanwhile, both parties admit that their compliance goal aligns with each other since they work hand in hand with policymakers and regulators across the globe to bring crypto and blockchain to the doorsteps of financial institutions.

Commenting on this groundbreaking partnership, CEO of Archax Graham Rodford disclosed that the company is excited to adopt the technology by bringing its assets to the XRPL.

We have hit the tipping point for mainstream adoption of digital assets for real-world use cases. There is clear real-world utility in use cases like RWA tokenization for the operational efficiency, access to liquid markets, and transparency inherent to crypto, and Archax has already tokenized assets such as equities, debt instruments, and money market funds.

The XRPL, which is reported to have a strong foundation in RWA tokenization and institutional grade DeFi, has recorded more than 1,000 projects in the last decade. On top of that, it has successfully processed more than 2.8 billion transactions without disruption, supporting more than five million wallets within the process with over 120 validators.

Markus of RippleX Comments and Archax Recent Acquisition

According to Markus Infanger, SVP, RippleX, its collaboration with Archax could enhance the realization of its vision and support the UK-regulated firm to drive the adoption of blockchain.

Our industry is at the start of the next major adoption stage in which blockchain technology will deliver real utility in financial markets at scale. Ripple is excited to see Archax’s vision of driving the adoption of blockchain and digital assets technology amongst financial institutions come to life, while further underlining the credentials of the XRPL as one of the leading blockchains for RWA tokenization.

Archax recently announced the acquisition of Spanish broker King & Shaxson Capital Markets (KSCM) as part of the effort to expand its operations across Europe.

Archax recently signed with #Ripple, “to bring 100m’s of $ of tokenized RWA onto the XRPL over the coming year”. Since then, they have acquired a Spanish broker, KSCM, and partnered with Assetera for fund cross-listings. #XRP #XRPLCommunity https://t.co/1XklSyY7wK— WrathofKahneman (@WKahneman) November 4, 2024

Initially, Archax was focusing on providing a digital securities marketplace but later expanded into crypto exchanges. Meanwhile, its latest accounting filing shows that it had 58 institutional clients as of the end of 2023. Its Asset Under Custody within the period was $112 million, with almost $100 million in OTC trading volumes.

Its recent expansion was highlighted by Rodford in a statement:

The Archax strategy has always been to expand its regulatory footprint globally, with the EU region being of prime importance for us, post-Brexit. This acquisition expands and enhances our access to permissions within the EU region, building on those we hold with the FCA in the UK.