- DBS to accept tokenised money market funds as collateral, opening new institutional lending channels.
- RLUSD goes live on Aave’s DeFi platform, expanding Ripple’s stablecoin use across decentralized finance.
DBS, Franklin Templeton, and Ripple have agreed to launch a new product focused on tokenised financial instruments. The offering is designed for institutional and accredited investors only, with the goal of supporting 24/7 trading and access to lending services.
Under the partnership, Franklin Templeton will issue its U.S. Dollar Short-Term Money Market Fund, branded as sgBENJI, as a token on the XRP Ledger. DBS will list the sgBENJI token on its Digital Exchange (DDEx), paired with Ripple’s stablecoin, RLUSD. This will allow investors to move funds between a stablecoin and a money market token without delays, while maintaining exposure to assets with lower volatility.
DBS said this setup offers investors a faster and more flexible way to adjust their holdings without being tied to traditional market hours. Trades between RLUSD and sgBENJI can be made at any time, in a few minutes, allowing quick action during periods of market movement.
XRP Ledger to Power Tokenisation
The XRP Ledger was selected by Franklin Templeton due to its low transaction costs and fast processing times. It will serve as the foundation for issuing and managing the sgBENJI tokens. This expands Franklin Templeton’s blockchain coverage and supports wider interoperability.
Tokenising money market funds on public blockchains gives institutions access to assets that can be traded efficiently. According to Ripple, the XRP Ledger is suited to handle high-volume transactions, which is essential when dealing with money market instruments.
A post from financial market observer WrathofKahneman noted:
“Franklin Templeton is tokenizing a mmf on the #XRP Ledger while DBS lists it paired with #RLUSD.”
This structure enables constant liquidity and quick portfolio changes.
💵Institutional Finance💵 DBS, Franklin Templeton & #Ripple signed an MOU for trading & lending solutions using tokenized money market funds & stablecoins. Franklin Templeton is tokenizing a mmf on the #XRP Ledger while DBS lists it paired with #RLUSD. 1/3 pic.twitter.com/erBaX7Xo1F
— WrathofKahneman (@WKahneman) September 18, 2025
In the next phase, DBS plans to let clients use sgBENJI tokens as collateral to borrow funds. The bank will support this through repurchase agreements or third-party platforms, acting as the collateral agent. This creates more ways for investors to access credit without selling their assets.
According to DBS, all activities will remain under its regulated framework. Only approved institutional or accredited users will be allowed to access these services. This keeps the system secure and compliant with local financial rules.
“DBS will create liquidity by allowing sgBENJI as collateral via Repo transactions or third-party platforms,” WrathofKahneman added.
Partnership Driven by Blockchain Expansion
Ripple, DBS, and Franklin Templeton say the joint effort supports the wider use of tokenised securities in regulated environments. Each partner brings a different piece of the process: tokenisation, banking infrastructure, and blockchain-based settlement.
The three firms say the platform is built to meet the growing interest from large investors seeking flexible, always-on financial tools backed by regulated institutions.
Additionally, RLUSD is now also live on Aave’s Horizon platform, where it can be used as collateral for borrowing and lending in decentralized finance. As BTCDaily reported, Ripple said that scale and trust will define which stablecoins succeed in open systems, adding that many other tokens remain limited to narrow, closed-loop functions.
