Ripple, a well-known player in the digital asset space, has presented its insights on the future of tokenized assets and its role in helping financial institutions adapt to new realities.
The Future of Tokenized Assets
Ripple asserts that within the next five years, at least 10% of all global assets will be tokenized and stored or traded on-chain. Financial institutions are seeking digital asset custody solutions that provide the same robust services and protections they have relied on for traditional assets.
Benefits of Ripple Custody
Ripple Custody offers three key functionalities for financial institutions: core safekeeping, stablecoin issuance, and governance. Core safekeeping is critical as a lack of it may lead to permanent asset loss or unauthorized access.
Stablecoins and Asset Governance
With Ripple Custody, institutions can mint, burn, and manage their stablecoins using XRP Ledger or any Ethereum-compatible blockchain. Ripple's own stablecoin, RLUSD, serves as a ready-made solution for those not wishing to create their own.
Ripple aims to assist financial institutions in their transition to tokenized assets by providing a reliable solution for custody and asset management, which could significantly impact the financial market.
