Ripple has formed a strategic partnership with DBS and Franklin Templeton to enhance tokenized financial products, aiming to improve access to digital liquidity on the DBS Digital Exchange (DDEx).
DBS Leverages Ripple Technology for Innovation
On September 18, a significant memorandum of understanding was established, allowing DDEx to feature Franklin Templeton’s sgBENJI, which represents the Franklin Onchain US Dollar Short-Term Money Market Fund. This collaboration will facilitate seamless exchanges between this yield-generating fund token and Ripple’s US dollar stablecoin, RLUSD, providing clients with around-the-clock access to these financial instruments. Ripple has indicated that the project will utilize the open-source XRP Ledger, with plans for repo-style lending development in the future.
As the leading bank in Southeast Asia, boasting over $500 billion in assets as of 2025, DBS positions this initiative within a larger movement toward tokenized financial infrastructure. “Investors in digital assets require solutions tailored to the needs of a constantly active global market,” stated Lim Wee Kian, CEO of DBS Digital Exchange. The bank is set to explore new opportunities, such as utilizing sgBENJI as collateral for loans, either directly through repurchase agreements with DBS or through other platforms where DBS will serve as a collateral agent, making a strong case for on-chain financial transactions.
Franklin Templeton’s commitment to innovation in the tokenized space will see sgBENJI issued on the XRP Ledger to foster greater interoperability across various blockchain environments. Roger Bayston, who leads digital assets at the company, referred to this collaboration as a vital step towards enhancing the functionality of tokenized securities and promoting the growth of Asia’s digital finance landscape. Ripple’s VP and global head of trading and markets, Nigel Khakoo, expressed that facilitating repo trades for a tokenized fund using a stable and regulated platform like RLUSD is a transformative development.
Monica Long, Ripple’s president, emphasized the necessity for tokenized assets to demonstrate both tradability and practical utility in the market. “For tokenized financial products to achieve their potential, they must provide both liquid secondary markets and functional applications, such as collateralization,” she remarked on social media. This partnership aims to fulfill those requirements through their new initiative.
The design of this venture prioritizes institutional investment strategies. By offering sgBENJI alongside RLUSD, eligible investors at DDEx can effectively manage their portfolios, gradually moving from highly volatile crypto assets to more stable, yield-generating opportunities—all within a controlled banking ecosystem. Ripple and DBS have highlighted that swift settlement times and uninterrupted market availability are pivotal elements of this offering, with the XRP Ledger selected for its efficiency, low transaction costs, and capacity for handling robust fund token transfers.
Choosing DBS as a collaborator holds considerable significance, given its position as Southeast Asia’s most substantial bank, actively exploring regulated pathways for digital assets through DDEx and specialized custody solutions. Ripple has been focused on advancing RLUSD as a stablecoin that prioritizes compliance for institutional transactions, while Franklin Templeton is dedicated to innovating money-market tools on public blockchains to achieve programmable liquidity.
As of the latest updates, XRP is valued at $3.10.
