XRP Ledger tapped by investment giant Guggenheim to expand $280M digital debt offering

Guggenheim Treasury Services, a subsidiary of Guggenheim Capital, has begun issuing U.S. Treasury-backed digital commercial paper on the XRP Ledger, marking the first native fixed-income product of its kind on the blockchain. In a June 10 press release, Ripple announced that Guggenheim’s DCP would now be available on XRP ( XRP ) Ledger through the Zeconomy platform. Since its initial launch on Ethereum ( ETH ) in September 2024, the tokenized asset, which has been rated Prime-1 by Moody’s, has processed over $280 million in volume and offers custom maturities of up to 397 days. DCP, which boasts quicker settlement, reduced fees, and round-the-clock accessibility, has become the first native commercial paper issued on XRPL. It’s issued through a bankruptcy-remote SPV, ensuring investor protections, and aims to modernize traditional treasury operations by integrating digital debt into cross-border payment flows. Ripple will invest $10 million in DCP as part of the partnership, which may later include support for RLUSD purchases. RLUSD, Ripple’s USD-backed stablecoin launched in December 2024, has already exceeded $350 million in circulating supply. You might also like: Ripple commits additional $5M to Asia-Pacific blockchain research “The inception of DCP is a prime example of institutions shifting from experimentation to production,” said Markus Infanger, senior vice president of RippleX. “It expands the offering of institutional assets on XRPL, which is designed for regulated financial products requiring speed, scale, and compliance.” The expansion arrives at a time when XRPL has seen a decline in usage. As reported by crypto . news on June 9, on-chain activity has been slipping, transaction and payment volumes have dropped, and active addresses have decreased between May and June. By introducing steady institutional flows into the network, this partnership may help to reverse that trend. The DCP expansion builds on Ripple’s growing push into real-world asset tokenization. The company has previously invested in similar tokenized treasury projects, including Ondo’s OUSG and Archax’s partnership with asset manager Abrdn. According to a recent Ripple-BCG report , bonds will drive the adoption of the tokenized RWA market, which is expected to grow from $600 million today to nearly $19 trillion by 2033. DCP is currently available exclusively to Qualified Institutional Buyers and Qualified Purchasers. The product offers a regulated, yield-bearing onchain asset that institutional traders can integrate into liquidity and collateral strategies, blending traditional fixed income with blockchain-native efficiencies. Read more: Ripple to provide grants to Japanese Web3 projects building on the XRP Ledger

Source: crypto.news