Key Insights:
- Ripple backs $280 million UAE diamond tokenization project on XRP Ledger.
- The project aims to streamline verification, finance, and transfer of diamonds while keeping assets under trusted custody.
- Ripple’s RLUSD stablecoin supports liquidity, enabling smoother cross-border transactions amid short-term ETF outflows.
XRP news moved beyond price action as Ripple Labs backed a $280 million diamond tokenization project in the UAE. As detailed, it used the XRP Ledger to link certified physical assets with blockchain systems built for regulated markets and institutional use
Latest Diamond Tokenization Move Using the XRP Ledger
Ripple Executive, Reece Merrick, confirmed the firm’s support for the tokenization of over AED 1 billion. That’s about $280 million worth of certified polished diamonds in the United Arab Emirates.
Notably, the project is led by Billiton Diamond in partnership with Ctrl Alt and runs on the XRP Ledger. The diamonds are not being traded loosely or stored digitally without backing. Each stone is certified and placed under Ripple’s enterprise custody framework.
This system is designed for high-value assets and institutions that require strict access controls, audit trails, and secure storage. Ownership records are written on-chain while the physical diamonds remain protected.
Dubai was chosen for the initiative due to its clear digital asset framework and growing role in regulated blockchain finance. The project aims to make diamonds easier to verify, finance, and transfer without removing them from trusted custody.
This approach reduces friction that often exists in commodity markets, where paperwork and cross-border settlement slow transactions. Ctrl Alt has already worked with the XRP Ledger before, including earlier tokenization of large real estate assets.
This diamond project builds on that experience and shows how XRPL is being used as infrastructure rather than as a speculative protocol.
Market watchers see this as a sign that commodities such as gold and other precious assets may follow a similar path.
XRP ETF Outflow on Record as Market Cools
While XRP news on adoption remained positive, ETF data showed a more cautious market mood. According to SoSoValue figures as of February 2, XRP spot exchange-traded funds recorded a daily total net outflow of $404,690. This reflects selling pressure during the session rather than long-term capital flight.
Despite the daily outflow, cumulative total net inflows remained strong at $1.18 billion, showing that institutional participation has built up over time. Total net assets stood at $1.11 billion, confirming that XRP ETFs still hold a sizable capital base.
Meanwhile, the same data showed XRP trading at $1.61, aligning with the softer ETF activity. SoSoValue data clearly links price movements to ETF flows. Thus, it illustrates how short-term sentiment can shift even as overall positioning remains intact.
Market analysts note that daily outflows often reflect profit-taking or short-term risk management rather than loss of confidence.
Broader crypto markets experienced similar pressure during the same period, with investors adjusting exposure across digital asset products. The ETF data adds balance to the wider XRP news cycle.
While adoption stories focus on long-term use, ETF flows capture immediate sentiment, offering a real-time view of how institutions are responding to market conditions.
Ripple USD Minting Provides Liquidity Support for XRP
Another important part of recent XRP news is the role of Ripple’s stablecoin, RLUSD. Ripple minted over 102 million RLUSD tokens in a single day through multiple transactions. This activity pushed RLUSD closer to a $1.4 billion market value.
RLUSD is issued on both the XRP Ledger and Ethereum and is built for payments, treasury operations, and liquidity management. It acts as a stable settlement layer, helping institutions move value without relying on price-sensitive assets alone.
Notably, by expanding RLUSD supply while managing burns when needed, Ripple is building a steady liquidity base that supports XRP-related activity.
Per the XRP news, this is especially relevant during periods when ETF flows show short-term weakness. Recent trading activity has shown RLUSD gaining volume, strengthening liquidity pools connected to XRP. For institutions, this reduces friction and improves confidence when moving funds across borders or platforms.