Ondo Finance, Ripple, Mastercard, and JPMorgan’s Kinexys unit have completed a cross-border, cross-bank redemption pilot involving a tokenized U.S. Treasury fund on the XRP Ledger.
Here’s what settled: Ripple redeemed part of its holdings in Ondo’s OUSG fund, a tokenized short-term U.S. Treasury product issued on the XRP Ledger. Mastercard’s Multi-Token Network carried the payment instruction across networks, and JPMorgan’s Kinexys platform delivered dollars through bank rails to Ripple’s bank account in Singapore. The transaction settled in under 5 seconds and took place outside traditional banking hours.
The mechanics are the key part of the story. Rather than keeping the transaction entirely inside a crypto system, the test linked a tokenized Treasury on a public blockchain with conventional cross-border bank settlement. That matters because redemption is the hard operational step: turning a tokenized claim on a Treasury fund back into bank money that can move between institutions. This pilot shows how the handoff worked across the blockchain and banking layers, with each participant handling a distinct part of the process.