Aviva Tokenized Sterling Fund: What the XRPL Launch Means

Tokenized money market funds keep moving from pilot to mainstream, and one of Britain's biggest asset managers just took another step. On October 26, 2026, Aviva Investors and Ripple announced a new tokenized share class of the Aviva Investors Sterling (GBP) Liquidity Fund on the XRP Ledger. The fund is the firm's largest, with roughly £22 billion in assets under management, and this is Aviva's second tokenization of an existing fund in three months.

• The fund: a tokenized share class of the Aviva Investors Sterling Liquidity Fund, an Ireland-domiciled UCITS money market fund first launched in 2002
• Seed investment: Aviva put £50 million ($66 million) of its own money into the new share class
• Total tokenized: more than £86 million ($116 million) across Aviva's two tokenized share classes
• Partners: Ripple and the XRP Ledger, with Komainu, Licuido and The Bank of New York Mellon as custodian

How Does Aviva's Tokenized Fund Work?

The launch uses what Aviva calls a "digital twin" model. Rather than rebuilding the fund on a blockchain, it adds a digital access layer: holdings are represented onchain on the XRP Ledger while the existing offchain fund structure stays intact. Investors in the tokenized share class get the same investment objective, risk profile, liquidity characteristics and regulatory protections as holders of the conventional share class.

The fund itself is deliberately unexciting in the best way. It targets low-risk returns and daily liquidity through high-grade, short-term sterling debt instruments. All assets stay with The Bank of New York Mellon as custodian. Komainu, a regulated institutional digital asset custodian, and Licuido, a platform for tokenizing and trading real-world assets, support the share class, which is available to eligible investors with digital wallets.

Why Tokenized Money Market Funds Keep Growing

Money market funds are where institutions park cash, so putting them onchain is one of the clearest real-world uses of tokenization. A tokenized share can move on always-on rails rather than waiting for traditional settlement windows. Ripple's Nigel Khakoo said in the release that markets are moving toward 24/7 access and real-time settlement, and that this launch shows what that looks like in practice. Aviva Investors CEO Mark Versey said the firm believes tokenized funds can increase efficiency and improve client outcomes.

The structure is also designed to operate within existing regulatory frameworks, which matters for institutional adoption. The new share class expands a partnership that began on July 29, 2026, when Aviva and Ripple launched a tokenized share class of the Aviva Investors US Dollar Liquidity Fund, and The Block reported the sterling launch the same morning it was announced.

Why Did Aviva Choose the XRP Ledger?

According to the announcement, the XRP Ledger lets Aviva issue and manage the share class with fast, low-cost transactions in an energy-efficient format. Ripple says the network has processed more than 4 billion transactions since 2012, supports nearly 8 million active wallets and is maintained by more than 130 independent validators. The ledger has been steadily attracting real-world assets, a trend we tracked when the XRP Ledger crossed $4 billion in tokenized assets.

What Does This Mean for Tokenization in Europe?

With this launch, Aviva describes itself as one of the largest asset managers offering tokenized money market funds in Europe. It follows similar moves in the US, including J.P. Morgan's tokenized funds on Solana. The sums are still small relative to a £22 billion fund, but the pattern is clear: large managers are building tokenized access onto existing, regulated products rather than launching risky new ones. As always, this is news, not investment advice. Follow more developments in our crypto coverage.

Sources: Ripple press release — October 26, 2026; The Block — October 26, 2026; Aviva Investors USD Liquidity Fund tokenized share class announcement — July 29, 2026.