Ripple partners with DBS and Franklin Templeton to launch tokenised trading and lending solutions

DBS, Franklin Templeton, and Ripple have entered into a memorandum of understanding to collaborate on trading and lending products backed by tokenised money market funds on the XRP Ledger blockchain and stablecoins, according to a Wednesday announcement.

The collaboration, one of the largest efforts to merge traditional money market funds with blockchain and stablecoins for accredited and institutional investors, will allow clients to trade Franklin Templeton’s sgBENJI token on DBS Digital Exchange using Ripple’s RLUSD stablecoin.

DBS will also explore allowing clients to use sgBENJI tokens as collateral for obtaining credit through bank repos or third-party platforms.

DBS Digital Exchange chief Lim Wee Kian said the tie-up underscores the potential of tokenised securities to boost market efficiency and liquidity.

“Digital asset investors need solutions that can meet the unique demands of a borderless 24/7 asset class,” said Kian. “Having been active in Asia’s blockchain ecosystem since 2021, this initiative strengthens our leadership position and represents a new front in DBS’ mission to provide our clients with trusted, institutional-grade solutions to build their digital asset portfolios.”

The partnership comes as institutional investor interest in digital assets grows, with 87% expecting to invest in the asset class in 2025, according to an EY-Parthenon and Coinbase report.

Franklin Templeton will tokenize sgBENJI on the XRP Ledger, chosen for its speed, efficiency, and low transaction costs. The token represents Franklin Templeton’s Franklin Onchain U.S. Dollar Short-Term Money Market Fund.

“We believe that blockchain and tokenization unlock powerful new use cases that have the potential to reshape the global financial ecosystem,” said Roger Bayston, Head of Digital Assets at Franklin Templeton, noting that the partnership marks real progress for tokenized securities and a key milestone in developing Asia’s digital asset ecosystem.

Nigel Khakoo, Ripple’s VP and Global Head of Trading and Markets, stated that enabling repo trades for a tokenised money market fund backed by RLUSD provides a regulated, stable, and liquid exchange mechanism, while also allowing investors to shift seamlessly between stablecoins and yield-bearing assets within a single ecosystem.

“2025 has been marked by a series of industry-firsts when it comes to traditional financial institutions moving onchain – and the linkup between Ripple, DBS, and Franklin Templeton to enable repo trades for a tokenised money market fund with a regulated, stable, and liquid mode of exchange, such as RLUSD, is truly a game-changer,” said Khakoo.

RLUSD was launched last December and has seen steady growth since then. Ripple’s flagship stablecoin achieved a market capitalization of nearly $730 billion as of September 17, according to CoinGecko.