Licuido Secures Ripple Investment to Scale XRPL Collateral Platform
Licuido, an FCA-regulated tokenisation and trading platform, has received a strategic investment from Ripple to expand its digital capital markets infrastructure on the XRP Ledger (XRPL). The London-based firm did not disclose the size of the investment, but said the capital will support scaling of its tokenisation platform and its collateral marketplace for institutional clients.
The company’s proposition targets a structural inefficiency that has persisted across traditional capital markets: the roughly ten trillion dollars in assets held in global money market funds that remain effectively immobilised between transactions. Licuido says its platform allows institutional issuers to tokenise fund units and then trade the resulting instruments as collateral on a secondary market, within a regulated and confidential environment. The FCA-regulated status of the trading platform is a meaningful distinction in a market where many tokenisation projects have yet to obtain domestic regulatory approvals.
The deal
Brian Lynch, chief executive and co-founder of Licuido, said the investment enables the company to push further into the post-issuance layer of digital capital markets. “Tokenization, by itself, only solves part of the challenge of unlocking liquidity,” he said. “Licuido’s platform allows clients to take the next step by delivering issuance, distribution and utility, within a controlled, confidential, and regulated digital capital markets platform.”
The announcement does not include a post-investment valuation, a funding quantum, or details of the equity or commercial structure underlying the deal.
Market context
Ripple’s investment continues its broader strategy of building out the XRPL as an institutional-grade settlement and tokenisation rail, competing with Ethereum-based platforms and proprietary ledgers from established custodians and exchanges. Several major financial institutions, including JPMorgan through its Onyx network and HSBC through its Orion platform, have developed in-house tokenisation infrastructure, while dedicated providers such as Securitize, Tokeny and OpenEden are pursuing similar collateral mobility models with different regulatory footprints and chain choices.
The regulatory environment is sharpening around this segment. In the UK, the FCA’s digital securities sandbox, launched under the Financial Services and Markets Act 2023, is designed to allow firms to test tokenised asset trading within a controlled legal perimeter. Licuido’s existing FCA-regulated status gives it a credible starting point, though the sandbox and the broader Digital Securities Sandbox regime will determine how far secondary market activities on distributed ledger technology can scale under current UK rules. Across the EU, MiCA provides a framework for crypto-assets but does not directly resolve the treatment of tokenised traditional securities, which remains subject to ongoing work under the DLT Pilot Regime.
For Ripple, the Licuido deal extends a pattern of backing infrastructure firms that deepen the utility of the XRPL rather than relying solely on XRP as a liquidity asset. For Licuido, the validation from a blockchain payments incumbent, combined with its FCA authorisation, positions the firm well for conversations with institutional counterparties that require both technical credibility and regulatory assurance before committing collateral to a new platform.
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