According to a report by Bloomberg News on June 10th, Guggenheim Partners has introduced its Treasury backed fixed-income products into the XRP ledger (XRPL) through a new collaboration with Ripple.
Guggenheim Treasury Services, a subsidiary of the Guggenheim investment giant, will offer tokenized U.S. commercial paper on XRPL, with a customization period of up to 397 days. This product is fully supported by US Treasury bonds and aims to provide an institutional-level fixed-income investment channel in the form of tokenization.
In this collaboration, Ripple will invest 10 million US dollars in this asset. This is a strategic investment that aligns with Ripple’s efforts to expand the tokenization of real-world assets (RWA) in a decentralized ecosystem. This fixed-income product may also be purchased using Ripple’s stablecoin RL USD pegged to the US dollar. Since its launch in December last year, the supply of RL USD has exceeded 300 million US dollars and is available on both the Ethereum network and the XRP ledger.
This collaboration by Guggenheim is based on its early involvement in blockchain finance. In September 2024, the company tokenized commercial paper worth 20 million US dollars on Ethereum, marking its first attempt at on-chain debt instruments. This move lays the foundation for a broader exploration of how blockchain can simplify the issuance, settlement and access of short-term credit products.
The collaboration between Ripple and Guggenheim represents a broader shift as financial institutions seek to integrate blockchain technology to enhance the transparency, efficiency and accessibility of the fixed income market. The XRP ledger was chosen because it has a long-term stable operation record. Since 2012, it has completed over 3.3 billion transactions without any security incidents. In addition, this platform can provide institutional users with round-the-clock trading and more efficient settlement services.
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