Ripple has launched its first real-world asset (RWA)-based yield protocol on the XRP Ledger using the RLUSD stablecoin, The Block reported on Feb. 19 local time.
The newly introduced protocol is designed to generate on-chain yield.
The protocol was developed by ORQO Group. It allows RLUSD holders to deposit tokens into an on-chain vault on XRPL to earn fixed returns backed by private credit, tokenised U.S. Treasuries and market-neutral hedging strategies.
The company said the first $1 million asset pool was filled within 72 hours and additional asset pools will be offered in the coming weeks.
ORQO Group manages about $300 million in assets and holds regulatory licences in Poland and Malta.
XRPL recently activated a "permissioned DEX" that only approved participants can access. Ripple, which has a close relationship with the XRP Ledger, is exploring ways to tokenise traditional fund structures on XRPL in cooperation with Aviva Investors.
Chi-gyu Hwang
delight@d-today.co.kr