Ripple and SBI are redefining XRP DeFi, targeting a billion-dollar yield stream that ignores on-chain mechanics

SBI Ripple Asia has partnered with Doppler Finance via an MOU to explore building yield infrastructure for XRP and tokenizing real-world assets (RWA) on the XRP Ledger (XRPL). This initiative aims to make XRP "productive" for institutions by focusing on regulated, balance-sheet-friendly rails, including segregated custody provided by SBI Digital Markets, rather than relying on native on-chain staking mechanics.

The strategy involves routing XRP into external yield sources, such as tokenized T-bills or money-market funds, or potentially credit primitives on XRPL itself. The potential commercial incentive is significant; routing just 1% of XRP's circulating supply into a yield wrapper could represent approximately $1.14 billion in Assets Under Management (AUM), translating to millions in annual fee revenue for firms managing compliance and custody.

This approach addresses XRPL's current DeFi limitations, where Total Value Locked (TVL) is relatively small compared to platforms like Ethereum. By emphasizing regulated custody, compliance controls (like Multi-Purpose Tokens and Deep Freeze features on XRPL), and transparent reporting, the partnership seeks to attract institutional adoption in a market projected for massive RWA growth, while navigating regulatory concerns regarding asset ownership and risk management.

(Source：CryptoSlate)