Aviva Investors Tokenises MMF Share Class on Public XRP Ledger

Aviva Investors has launched a tokenised share class for its Aviva Investors US Dollar Liquidity Fund, a European UCITS money market fund (MMF) approved by the Central Bank of Ireland, with tokens issued on the public XRP Ledger. The move follows a partnership with Ripple announced in February to explore tokenisation, and the fund’s existing share classes already carry $1.23 billion in assets under management, with a £1 million minimum investment applying to the new token class.

The structure is deliberately conservative. Each token mirrors a conventional book-entry share, with the two reconciled daily, and the prospectus is explicit that a token cannot exist independently of its corresponding traditional share. Tokens are non-transferable; they can only be minted on issuance and burned on redemption, meaning the blockchain record and the fund register move in lockstep but the token itself carries no independent settlement utility.

The constraint on transferability is the central operational caveat. Collateral mobility is widely cited as a flagship use case for tokenised MMFs, relying on the ability to move token control bilaterally and around the clock. Because these tokens cannot be transferred, that benefit does not apply here in the conventional sense; a pledge arrangement requiring redemption proceeds to flow to a pledgee remains possible in legal form but falls short of the instant, programmable collateral transfer that the technology could in principle enable. Aviva Investors itself frames the launch as a scalable foundation rather than a finished product, suggesting further capability layers are anticipated.