Aviva Investors, the asset management arm of U.K. insurer Aviva (AV), plans to tokenize traditional fund structures on the XRP Ledger (XRPL) in a deal with blockchain firm Ripple, the companies said in a press release Wednesday.

The collaboration will see Ripple support Aviva Investors in issuing and managing tokenized funds on XRPL, a public blockchain designed for payments and financial transactions. The move marks Aviva Investors’ first foray into tokenization as it looks to integrate blockchain-based products into its lineup.

For Ripple, the agreement is a first partnership with a Europe-based investment manager, expanding its push to bring regulated financial assets onchain.

Asset managers have increasingly turned to tokenization to modernize fund infrastructure, using digital tokens to represent shares in money market funds, private credit, real estate and other strategies on a blockchain.

The approach promises faster settlement, lower operational costs and broader distribution, while enabling features such as fractional ownership and automated compliance.

Major firms including BlackRock, Franklin Templeton and Hamilton Lane have already introduced tokenized products, signaling a shift from pilot projects to live, regulated offerings aimed at institutional investors.

Aviva Investors and Ripple said they will work together through 2026 and beyond to develop tokenized fund structures on XRPL.

The ledger, which started up in 2012, has processed more than 4 billion transactions and supports over 7 million wallets, according to Ripple. It is maintained by 120 independent validators and does not rely on energy-intensive mining.

"We believe there are many benefits that tokenisation can bring to investors, including improvements in terms of both time and cost efficiency," said Jill Barber, chief distribution officer at Aviva Investors, in the release.

"We are committed to adopting technological advancements that we believe can bring about positive change for our business, and we think tokenized funds can be hugely beneficial to our clients,” she added.

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