Aviva Investors Set to Tokenize Products on the XRP Ledger: Key Details and What it Means

Aviva Investors, XRP Ledger (XRPL), and Ripple partnership are central to a new initiative that aims to bring regulated fund structures onto blockchain infrastructure.

Aviva Investors, the asset management arm of Aviva plc, announced a partnership with Ripple to tokenize traditional fund structures on the XRP Ledger (XRPL) on February 11. The companies stated that they will work together through 2026 and beyond to issue and manage tokenized funds on the public blockchain network.

The initiative marks Aviva Investors’ first move into tokenization and Ripple’s first partnership with a Europe-based investment management firm.

What Does the Partnership Between Aviva Investors and Ripple Involve?

Under the agreement, Ripple will provide technical support to help Aviva Investors issue and manage tokenized funds on XRPL. Tokenization refers to the process of representing ownership of traditional financial assets as digital tokens recorded on a blockchain.

The collaboration is part of Ripple’s effort to bring regulated financial assets onchain. For Aviva Investors, the project is designed to integrate blockchain-based fund structures into its existing product lineup.

Jill Barber, Chief Distribution Officer at Aviva Investors, said the firm sees potential improvements in time and cost efficiency through tokenized solutions. She added that the company intends to adopt technology that can improve operational processes and client outcomes.

Nigel Khakoo, Vice President of Trading and Markets at Ripple, said tokenization is moving from pilot programs to larger-scale implementation. He noted that financial institutions are now focused on deploying regulated assets at scale using blockchain infrastructure.

How Does the XRP Ledger Support Tokenized Funds?

The XRP Ledger is a decentralized, open-source public blockchain designed for financial transactions. It launched in 2012.

According to Ripple, the network has processed more than 4 billion transactions and supports over 7 million active wallets. It is maintained by 120 independent validators.

Unlike proof-of-work blockchains, XRPL does not rely on mining to validate transactions. This design reduces energy consumption and enables near-instant settlement. The network is designed to minimize transaction costs and includes features to support compliance in regulated financial markets.

For asset managers, these characteristics are relevant for issuing and managing tokenized fund shares, which require reliable settlement, recordkeeping, and regulatory controls.

Why Are Asset Managers Turning to Tokenization?

Asset managers are using blockchain technology to modernize fund infrastructure. In tokenized funds, shares of vehicles such as money market funds, private credit funds, or real estate strategies are represented as digital tokens on a blockchain.

Tokenization can support:

• Faster settlement times
• Lower operational costs
• Automated compliance processes
• Fractional ownership
• Broader digital distribution

Large global firms have already introduced tokenized products. These include BlackRock, Franklin Templeton, and Hamilton Lane. Their activity indicates a shift from experimental pilots to live, regulated offerings targeting institutional investors.

The Aviva Investors–Ripple partnership follows this trend and reflects growing institutional interest in blockchain-based fund structures.

What Makes This Deal Significant for Europe?

For Ripple, the agreement represents its first partnership with a Europe-based investment management firm. The company has previously worked with financial institutions in other regions.

For Aviva Investors, the project is its first tokenization initiative. As the investment arm of one of the United Kingdom’s largest insurers, the firm’s entry into blockchain-based funds signals increasing acceptance of tokenized assets within established financial institutions.

The collaboration is structured as a long-term effort, with development expected to continue through 2026 and beyond.

What Does This Mean for Institutional Investors?

The move does not immediately change existing fund structures. Instead, it introduces a new issuance and management framework using blockchain infrastructure.

If implemented at scale, tokenized funds on XRPL could alter how fund shares are issued, transferred, and recorded. Near-instant settlement and automated compliance tools may reduce administrative friction. Lower transaction costs may improve operational efficiency.

However, the funds will remain subject to regulatory requirements in the jurisdictions where they are offered. Both companies focus on regulated financial assets rather than unregulated crypto products.

A Structured Move Toward Blockchain-Based Fund Infrastructure

Aviva Investors’ partnership with Ripple introduces blockchain infrastructure into its fund operations for the first time. By issuing and managing tokenized funds on the XRP Ledger, the firm aims to improve settlement speed, cost efficiency, and operational controls within a regulated framework. 

The agreement reflects a wider industry shift toward tokenized financial assets and positions XRPL as infrastructure for institutional fund issuance.

Sources:

• Ripple Blog: Partnership with Aviva Investors 
• Coindesk: Aviva Investors to tokenize funds on XRP Ledger in Ripple partnership
• Aviva Investors Company News: Partnership Announcement 
• Bitcoin.com: Ripple Secures First Europe Asset Manager Deal