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- Ripple’s tokenization of 1 billion AED worth of diamonds, “isn’t just a win for the UAE, it’s a masterclass in how the XRP Ledger handles high-value RWA at scale,” says Reece Merrick.
- The network is solving the trust gap by integrating Ripple Custody’s bank-grade vaulting with XRPL’s native fast transactions and low costs.
As tokenization takes root globally, the XRP Ledger is emerging as one of the key players, with its projects now expanding beyond the traditional real estate and government treasury bonds sectors. One of its recent projects is the tokenization of 1 billion AED worth of diamonds, which executive Reece Merrick has described as a big win for the UAE and XRPL.
As CNF reported, Billiton Diamond tokenized diamonds worth $280 million in partnership with Ctrl Alt, in a project supported by Ripple. It embedded certification data and real-time inventory information on the ledger, allowing approved parties across the entire supply chain to verify the origin and ownership history of the precious metals.
Billiton intends to expand the scope of the project, listing the tokens on primary and secondary platforms where both retail and institutional traders can buy and sell their ownership rights. With diamonds being one of the most expensive commodities (one carat can cost as much as $10,000), the sector has historically been closed off for the retail market.
Reece Merrick, the managing director for Middle East and Africa at Ripple, says the project “isn’t just a win for the UAE, it’s a masterclass in how the XRP Ledger handles high-value RWA at scale.”
Solving the Trust Gap With XRP Ledger
Tokenization is projected to be a market worth trillions of dollars within the next five years, as we have reported. Most crypto projects have launched initiatives targeting the industry, from Injective to VeChain and IOTA. However, as CNF recently detailed, the XRP Ledger is overtaking most of the market leaders as more projects select it to anchor their tokenization efforts.
According to Merrick, the growth is partly down to how the network has solved the ‘Trust Gap’ in digital commodities. This is the separation between what a digital asset claims to represent and what users can independently verify. This arises when a physical commodity is turned into a digital right that is tradable without the physical movement of the underlying asset.
One of the main pillars in the solution is Ripple Custody, the division of the company that provides institutional-grade digital asset custody services. Ripple Custody was built through the acquisition of existing market leaders whose technology was used to build new products: Metaco in 2023, Standard Custody & Trust Company in 2024 and Palisade last year.
The XRP Ledger’s native features also play a role, Merrick says. This includes the network’s speed and low costs that allow users to turn illiquid goods into tradable assets.
Ripple has also been working on regulatory alignment, which matters significantly, especially within the financial space. For Billiton, Ripple capitalized on its relationship with Dubai’s VARA and the DMCC, one of the UAE’s largest free zones.
Merrick added:
Luxury assets are no longer illiquid and the “Internet of Value” is being built right here, right now.
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