Ripple's acquisition of Hidden Road is seen as a pivotal step for the XRP Ledger (XRPL), as noted by Ripple's CTO, David Schwartz. This move is expected to enhance the use cases for XRPL among institutional clients, especially in the realm of tokenized real-world assets (RWAs). Hidden Road, which serves over 300 institutional customers, processes substantial volumes of transactions daily, and Ripple aims to channel some of that activity through the XRPL. Despite previous efforts, tokenization on XRPL has only seen minimal activity, with only two RWAs valued at approximately $50 million recorded to date. However, as major traditional finance players explore potential applications for asset tokenization, industry analysts anticipate this market to grow significantly, possibly reaching multi-trillion-dollar valuations by 2030. Ripple's acquisition could help bridge the gap for more secondary markets linked to tokenized assets, accelerating adoption in this sector.

Source 🔗