Ripple Ecosystem Gets New Institutional Product, Announces EVM Sidechain Launch
Date: 2025-06-11 Author: Oliver Abernathy Categories: BUSINESS
Guggenheim Treasury Services has launched digital commercial paper (DCP), tokenized securities that now operate on the XRPL network. Issued by fintech startup Zeconomy, the paper is backed by US Treasury bonds, giving it a high level of reliability. The benefits of using the XRP Ledger — 24/7 trading, high transaction speeds, and low fees — make transactions as convenient and efficient as possible. As part of this collaboration, Ripple is investing $10 million in the development of Guggenheim's DCP program.
The paper issuance is organized through Great Bridge Capital Co., a special structure created by Guggenheim to minimize the risks of bankruptcy and protect investors. Moody's has assigned this product a Prime-1 rating, the highest level of reliability for monetary instruments.
For Guggenheim, the launch of DCP on the XRPL network was a logical continuation after the first issue of tokenized bills on the Ethereum network in September 2024. Since then, the volume of such securities has amounted to about $20.5 million. This project highlights the growing interest of institutional investors in the tokenized real assets (RWA) market. According to RWA.xyz, there are currently over $7.24 billion locked in tokenized US treasuries and bonds.
In addition, the XRPL network plans to launch a sidechain with support for the Ethereum Virtual Machine (EVM) in the second quarter of 2025, which will attract new developers and expand the capabilities of the ecosystem. This was announced by Ripple CTO David Schwartz at the Apex 2025 conference in Singapore, and was also confirmed by the developer Peersyst.
The new sidechain will combine the low transaction costs of XRPL with the advanced functionality of Ethereum smart contracts. It is being created on the basis of the evmOS software stack with the joint work of Ripple and Peersyst. To interact with the main XRP Ledger network, a cross-chain bridge based on the Axelar protocol will be used, ensuring the transfer of assets between networks. The assets will also include wrapped XRP (wXRP), which will become the native token for paying for gas on the sidechain.
The project is currently in the testing stage on the test network, the launch on the main network is planned after the completion of testing and the establishment of cooperation with validators.
It should also be noted that on April 8, Teucrium Investment Advisors in the United States presented the first XRP-ETF in the country, which indicates the expansion of the use of XRP in the financial sector.
