Ripple, DBS, and Franklin Templeton have joined forces to create innovative trading and lending solutions utilizing the XRP Ledger blockchain. This collaboration will facilitate the trading of Franklin Templeton’s sgBENJI token on the DBS Digital Exchange while leveraging Ripple’s RLUSD stablecoin.
According to a recent announcement, these three entities have signed a memorandum of understanding aimed at developing trading and lending products that are backed by tokenized money market funds on the XRP Ledger blockchain alongside stablecoins. This initiative represents one of the most significant attempts to integrate traditional money market funds with blockchain technology for accredited and institutional investors.
The partnership will enable clients to trade Franklin Templeton’s sgBENJI token via DBS Digital Exchange using Ripple’s RLUSD stablecoin. Additionally, DBS is looking into allowing clients to use sgBENJI tokens as collateral for credit through bank repos or third-party platforms.
Lim Wee Kian, chief of DBS Digital Exchange, emphasized that this collaboration highlights how tokenized securities can enhance market efficiency and liquidity. He stated, “Digital asset investors need solutions that can meet the unique demands of a borderless 24/7 asset class.” He also noted that since 2021, their active involvement in Asia’s blockchain ecosystem has solidified their leadership role in providing trusted institutional-grade solutions for digital asset portfolios.
This partnership arrives at a time when interest from institutional investors in digital assets is surging; an EY-Parthenon and Coinbase report indicates that 87% anticipate investing in this asset class by 2025.
Franklin Templeton plans to tokenize its sgBENJI on the XRP Ledger due to its rapid transaction speeds, efficiency, and low costs. The sgBENJI token represents Franklin Templeton’s U.S. Dollar Short-Term Money Market Fund managed through their Onchain platform.
Roger Bayston, Head of Digital Assets at Franklin Templeton remarked: “We believe that blockchain technology along with tokenization opens up powerful new opportunities capable of transforming the global financial landscape.” He highlighted this partnership as significant progress for tokenized securities within Asia’s evolving digital asset ecosystem.
Nigel Khakoo from Ripple mentioned that facilitating repo trades for a tokenized money market fund supported by RLUSD offers a regulated environment conducive to stability and liquidity while enabling seamless transitions between stablecoins and yield-generating assets within one framework.
“The year 2025 has already seen numerous industry milestones regarding traditional financial institutions embracing on-chain technologies,” Khakoo said about this groundbreaking alliance between Ripple, DBS, and Franklin Templeton aimed at establishing repo trades for a regulated exchange model like RLUSD—truly revolutionary.”
The RLUSD stablecoin was introduced last December; it has experienced consistent growth since then with its market capitalization nearing $730 billion as reported by CoinGecko on September 17th.