JPMorgan and Mastercard make first cross-border US treasury transfer via XRP Ledger

Featured in:
abcd

Wall Street bank JPMorgan and credit card giant Mastercard announced they have completed the first cross-border, interbank buyout of a tokenized U.S. Treasury fund, partnering with Ripple’s XRP Ledger and interbank settlement rails.

The pilot transaction involved blockchain tokenization platform Ondo Finance listing the Ondo Short-Term US Government Treasuries (OUSG) fund for Ripple on the XRP ledger. The Multi-Token Mastercard network then passed settlement instructions to JPMorgan’s blockchain platform, Kinexys, to deliver US dollars to Ripple’s Singapore bank account.

sadasda

“For the first time, public blockchain and global banking infrastructure have jointly settled a cross-border transaction of a tokenized fund in real time,” Ondo Finance he said Wednesday.

Source: Ben Grossman

The pilot reflects growing collaboration between crypto companies and TradFi institutions looking to build faster, cheaper, global payment and settlement systems that operate outside of customary banking hours.

The pilot with OUSG builds on an earlier one in which JPMorgan and Ondo Finance participated in May 2025, when a tokenized U.S. Treasury fund was moved in a public and authorized blockchain network.

The tokenization of real-world assets has attracted growing interest from Wall Street leaders, who envision tokenization of everything from stocks and bonds to money market funds and real estate.

According to RWA.xyz, over $31.1 billion in assets are currently tokenized on the network, excluding stablecoins. data. Boston Consulting Group estimated in 2022 that the tokenization market could grow to $16 trillion by 2030, while McKinsey & Co. it said it could reach a more conservative $2 trillion over the same period.

Related: Stablecoins behave like currency markets when liquidity is shared: CEO of Eco

The parent company of the New York Stock Exchange, Intercontinental Exchange, announced in January that it would launch a tokenization platform for 24/7 trading and instant settlement of exchange-traded stocks and funds using a blockchain post-trade system, marking one of the biggest developments in the tokenization space to date.

Tokenization requires regulation before widespread adoption

Despite the development, the International Monetary Fund raised several concerns in its April report, including that tokenization shifts risk from the banking system to shared ledgers and shrewd contract code, making it more hard to intervene during “stress events.”

The IMF added that without legal clarity on ownership records and settlement finality, tokenized markets risk becoming “fragmented and peripheral.”

Shark Tank investor Kevin O’Leary shared these concerns on Wednesday during Consensus Miami 2026, saying that significant capital will not be tokenized until cryptocurrency market structure regulations are passed in the U.S. and are compliant with Securities and Exchange Commission regulations.

“When that happens, everything will change,” O’Leary said at the conference.

Warehouse: North Korea denies cryptocurrency hacks, Upbit bank tests Ripple: Asia Express

Cointelegraph is committed to independent and crystal clear journalism. This news article has been produced in accordance with Cointelegraph’s Editorial Policy and is intended to provide correct and up-to-date information. Readers are encouraged to verify the information themselves.
abcd
sadasda

Find us on

Latest articles

Related articles

See more articles

Solana (SOL) Strength Is Increasing, $90 Resistance Makes Investors...

Aayush Jindal, a luminary in the world of financial markets, whose expertise spans over 15 distinguished years...

Bitcoin is looking at 90,000. dollars as bears burn...

More than $4 billion in long positions are currently on the verge of being liquidated near $77,000...

Bitcoin market dominance exceeds 61%: will altcoins follow suit?

Bitcoin's dominance increased to 61% on Wednesday, the highest level since November 2025. The indicator is up...

The price of XRP is repeating the trend from...

Analysts are predicting a piercing escalate in the price of XRP this year, comparing the current cycle...

Hut 8 investors shrugged off the first quarter loss...

Investors appeared to shrug off Hut 8's reported first-quarter 2026 net loss of more than $253 million...

Analyst Says Bitcoin Will End This Month in the...

The attempt to recover Bitcoin was successful again above $80,000 for the first time...