- Ripple, DBS Bank, and Franklin Templeton have partnered to introduce advanced tokenized trading and lending solutions.
- The partnership aims to link money market funds with blockchain-based stablecoins, providing institutional investors with new tools for liquidity, collateralization, and digital asset portfolio management.
- The collaboration highlights the growing role of tokenization in modern finance, with experts predicting it will accelerate as institutional investors seek more efficient and transparent asset management.
In a move that could redefine the intersection of traditional finance and blockchain, Ripple has joined forces with DBS Bank and Franklin Templeton to introduce cutting-edge tokenized trading and lending solutions. The announcement, made on Wednesday, marks one of the most ambitious efforts yet to link money market funds with blockchain-based stablecoins, offering institutional investors new tools for liquidity, collateralization, and digital asset portfolio management.
This collaboration shines a spotlight on the growing role of tokenization in modern finance, a trend many experts believe will accelerate as institutional investors seek more efficient and transparent ways to manage assets. By bringing together Ripple’s blockchain infrastructure, Franklin Templeton’s tokenized funds, and DBS’s digital exchange capabilities, the three financial giants are positioning themselves at the forefront of the global shift toward digital securities.
The Core of the Partnership
Under the agreement, accredited investors will be able to trade Franklin Templeton’s sgBENJI token directly on the DBS Digital Exchange (DDEx) using Ripple’s RLUSD stablecoin. The sgBENJI token is a tokenized version of Franklin Templeton’s Franklin Onchain U.S. Dollar Short-Term Money Market Fund, issued on the XRP Ledger (XRPL). This integration does more than just simplify trading. DBS is exploring ways to allow sgBENJI tokens to be used as collateral for repos or through third-party financing platforms, effectively merging traditional money market instruments with decentralized finance-inspired infrastructure. Such innovations could significantly improve liquidity, efficiency, and transparency in financial markets, while also creating a new foundation for the expansion of digital asset portfolios among institutional players.
Why the XRP Ledger?
Franklin Templeton chose the XRP Ledger to issue the sgBENJI token, citing its speed, scalability, low transaction costs, and energy efficiency. The blockchain has been steadily gaining traction as a platform for real-world asset (RWA) tokenization, with Ripple pushing forward initiatives that connect traditional finance to on-chain ecosystems. Unlike other blockchains that often face congestion and high gas fees, the XRPL has built a reputation for fast settlements and low costs, making it a practical choice for high-volume institutional activity. By leveraging this infrastructure, the sgBENJI token and Ripple’s RLUSD stablecoin can seamlessly interact, creating a regulated, stable, and liquid trading environment.
Ripple’s RLUSD Stablecoin
Ripple introduced its flagship stablecoin, RLUSD, in December 2024. Since its launch, it has seen steady growth, reaching a market cap of nearly $730 billion as of September 17, 2025, according to CoinGecko. What makes RLUSD stand out is Ripple’s emphasis on compliance, liquidity, and cross-border usability. Unlike many stablecoins that face scrutiny over reserves or regulatory frameworks, RLUSD has been positioned as an institutional-grade solution, making it a natural fit for large-scale financial use cases like those being developed with DBS and Franklin Templeton.
Institutional Demand for Digital Assets
This partnership comes at a critical moment. According to a report by EY-Parthenon and Coinbase, 87% of institutional investors plan to allocate funds to digital assets in 2025. Such a staggering percentage demonstrates how rapidly blockchain-based products are moving from niche experiments to mainstream financial instruments. DBS’s Lim Wee Kian, Head of DBS Digital Exchange, emphasized the importance of innovation in this space, saying:
“Investors in digital assets need solutions that match the nonstop, global nature of this market. We have been active in Asia’s blockchain scene since 2021, and this move strengthens our leadership role. It also marks another step in DBS’ mission to give clients reliable, institutional-grade tools for building digital asset portfolios.”
This focus on institutional-grade infrastructure reflects a broader market shift. Institutional players are no longer content with speculative cryptocurrencies; instead, they are demanding tokenized securities, regulated stablecoins, and robust trading environments that mirror the efficiency of traditional finance while leveraging blockchain’s advantages.
Franklin Templeton’s Perspective
Franklin Templeton, a global investment powerhouse, has been among the pioneers in the tokenization of money market funds. By issuing the sgBENJI token, the firm is not only digitizing one of its flagship funds but also making a statement about the future of financial markets. Roger Bayston, Head of Digital Assets at Franklin Templeton, noted:
“We believe blockchain and tokenization open the door to new use cases that could transform the global financial system. This collaboration is an important step for tokenized securities and for Asia’s digital asset ecosystem.”
For Franklin Templeton, the partnership is an opportunity to expand beyond traditional investor bases and tap into a tech-driven financial future where tokenized products are traded alongside cryptocurrencies and other digital assets.
Ripple’s Strategic Role
Ripple has long been at the forefront of bridging the gap between traditional finance and blockchain ecosystems. Its stablecoin RLUSD, alongside the XRP Ledger’s institutional integrations, has laid the foundation for collaborations like this one. Nigel Khakoo, Ripple’s VP and Global Head of Trading and Markets, highlighted the significance of enabling repo trades for tokenized money market funds, saying:
“The partnership between Ripple, DBS, and Franklin Templeton to enable repo trades for a tokenized money market fund with RLUSD is a real game-changer.”
Ripple’s strategy is clear: by positioning itself as the infrastructure layer for tokenized finance, it is paving the way for regulated, compliant, and high-liquidity markets that appeal to global investors.
The partnership between Ripple, DBS, and Franklin Templeton represents a watershed moment for digital assets and institutional finance. By combining tokenized money market funds, stablecoins, and blockchain-based trading platforms, the three companies are creating a framework that could reshape the global financial landscape. With institutional investors showing unprecedented interest in digital assets and with blockchain proving its value in terms of speed, efficiency, and transparency, this collaboration underscores the inevitable convergence of traditional finance and blockchain technology. As tokenization continues to gain momentum in 2025 and beyond, this project could serve as a blueprint for the future of financial markets—a world where stablecoins, tokenized securities, and digital exchanges seamlessly integrate to create a more open, efficient, and liquid global financial system.
Disclaimer: CryptopianNews shares this for learning and info only. It’s not meant to be financial or investment advice. Crypto markets change a lot and move quickly. Investing in them can be risky. You should always look into things yourself. Talk to a trained financial advisor before making any choices about investing.
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