DBS collaborates with Franklin Templeton and Ripple for trading tokenized investment funds
Singapore-based DBS Bank has announced a strategic partnership with Franklin Templeton and Ripple to launch trading and lending solutions for institutional investors using tokenized money market funds and stablecoins on the XRP Ledger blockchain. The stock market today is witnessing a growing convergence between traditional financial products and blockchain infrastructure. According to Lim Wee Kian, CEO of DBS Digital Exchange, this partnership demonstrates how tokenized securities can increase efficiency and liquidity in global stock markets. In the partnership's next phase, DBS will explore allowing clients to use sgBENJI tokens, which are specifically tokenized on the XRP Ledger, as collateral for credit facilities. This could be through direct bank lending via repurchase agreements or through third-party platforms where DBS acts as collateral agent. Franklin Templeton will tokenize sgBENJI, a Singapore-dollar-pegged money market fund, specifically on the XRP Ledger. The setup addresses a common challenge for DJIA investors who typically hold volatile cryptocurrencies that generate no yield. With this arrangement, investors can earn yield while maintaining portfolio flexibility during market volatility. The services provided by the partnership will be limited to accredited and institutional investors who meet regulatory requirements. The arrangement between DBS, Franklin Templeton, and Ripple represents a significant step in integrating traditional investment vehicles with the operational benefits of decentralized technology. DBS Digital Exchange will list sgBENJI tokens alongside Ripple's RLUSD, enabling clients to rebalance portfolios between stable assets and yield-generating instruments within minutes on a 24/7 basis. The company selected the XRP Ledger for its speed, efficiency, and low transaction costs, positioning it as suitable for high-volume, low-latency stock market operations.
Read also:
- Ford Discontinues Popular Top-Seller in Staggering Shift, Labeled as a "Model T Event"
- 2025 Witnesses a 27% Surge in Worldwide Electric Vehicle Sales, Despite Opposition to Electrification Policies in the U.S.
- Recorded surge in electric vehicle registrations during the initial half of the year
- Dubai-bound: Omega Seiki Mobility, an electric vehicle company from India, prepares for assembly establishment
