Aviva Investors Launches Tokenized Fund After Central Bank of Ireland Approval

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Aviva Investors has launched its first tokenized fund share class after receiving approval from the Central Bank of Ireland, bringing its US Dollar Liquidity Fund onto the XRP Ledger (XRPL). The launch expands the use of blockchain technology in regulated asset management while maintaining the same investment structure and protections as the conventional fund.

Developed in partnership with Ripple, the new share class enables eligible investors to access the fund through digital wallets while preserving traditional custody arrangements. The underlying assets remain with BNY Mellon, while Komainu provides digital asset custody and Licuido delivers the tokenization infrastructure.

Key Takeaways

  • Aviva Investors has launched its first tokenized fund share class on the XRP Ledger.
  • The Central Bank of Ireland approved the regulated tokenized fund structure.
  • The tokenized share class maintains the same investment objective, liquidity, and risk profile as the conventional fund.
  • BNY Mellon remains custodian of the underlying assets, with Komainu and Licuido supporting digital infrastructure.
  • The launch marks another step in the adoption of tokenized real-world assets by traditional asset managers.

Aviva Brings Its First Fund Onto Blockchain

Aviva Investors announced the launch of a tokenized share class for its US Dollar Liquidity Fund, making it the firm’s first blockchain based investment product.

The tokenized share class is available to eligible investors with digital wallets and is issued on the XRP Ledger, while retaining the same investment objective, daily liquidity, regulatory protections, and risk profile as the existing share class.

The underlying fund, launched in 2020, invests in high-grade, short-term U.S. dollar-denominated debt instruments issued by governments, banks, and corporations.

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Central Bank of Ireland Approves New Structure

The launch follows approval from the Central Bank of Ireland, allowing the tokenized share class to operate within the existing regulatory framework. Rather than replacing the traditional fund structure, the new offering adds a blockchain based share class while keeping the underlying assets under conventional custody arrangements.

BNY Mellon continues to safeguard the fund’s assets, while Komainu serves as the regulated digital asset custodian and Licuido provides the tokenization technology powering the issuance on XRPL.

This structure allows investors to access tokenized fund units without changing the investment strategy or regulatory protections of the underlying fund.

Ripple Partnership Moves Into Production

The product represents the first live deployment resulting from the partnership between Aviva Investors and Ripple, which was announced earlier in 2026.

Ripple’s XRP Ledger provides the blockchain infrastructure supporting the issuance and transfer of the tokenized shares.

Aviva Investors Chief Executive Officer Mark Versey said the company had spent several months developing the tokenized fund structure and described the launch as the firm’s entry into tokenized asset management.

“We’re thrilled to be able to announce the launch of our first fund in the tokenisation space.”

Ripple Senior Vice President of Trading and Markets Nigel Khakoo described the launch as a significant milestone for regulated fund tokenization.

“This is a landmark moment for fund tokenisation.”

He added that the product demonstrates how institutional investment funds can be issued on live blockchain infrastructure while maintaining investor protections.

Xrpl Continues to Expand Institutional Use Cases

The launch adds another regulated real world asset product to the XRP Ledger. According to Ripple, XRPL has processed more than 4 billion transactions since its launch in 2012, supports nearly 8 million active wallets, and is maintained by more than 130 independent validators.

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The announcement also coincides with the activation of the latest XRPL 3.2.0 update, which became the minimum required version for validators and node operators after the latest protocol amendment. While the update does not introduce major user facing features, developers said it strengthens network reliability and stability for applications built on the ledger.

RippleX developer Mayukha Vadari noted that some protocol upgrades are intended to improve long-term adoption rather than generate immediate increases in transaction activity.

She highlighted the Clawback amendment, which allows authorized issuers of regulated digital assets to recover tokens in cases involving fraud, mistaken transfers, or compliance requirements.

Growing Institutional Adoption of Tokenized Funds

Aviva Investors joins a growing number of traditional financial institutions introducing tokenized investment products.

The launch follows earlier tokenization initiatives on XRPL, including Archax’s tokenization of abrdn’s US Dollar Liquidity Fund. More broadly, asset managers such as BlackRock, Franklin Templeton, and Apollo have also introduced blockchain-based investment products as demand for tokenized real-world assets continues to grow.

The new share class allows investors to access a regulated money market-style fund using blockchain technology while preserving the established operational and custody framework relied upon by institutional investors.

Conclusion

Aviva Investors’ launch of a tokenized share class for its US Dollar Liquidity Fund marks an important milestone in the adoption of blockchain technology within regulated asset management. By securing approval from the Central Bank of Ireland and issuing the product on the XRP Ledger, the firm has combined traditional fund infrastructure with blockchain-based distribution while maintaining the same investment objectives, liquidity, and regulatory safeguards as its conventional fund.

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The launch also strengthens the growing role of tokenized real-world assets in institutional finance and highlights continued collaboration between traditional asset managers and blockchain infrastructure providers as regulated digital investment products become more widely available.

Disclaimer: This article is intended solely for informational purposes and should not be considered trading or investment advice. Nothing herein should be construed as financial, legal, or tax advice. Trading or investing in cryptocurrencies carries a considerable risk of financial loss. Always conduct due diligence before making any trading or investment decisions.

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