Ripple has backed the UK's tokenization strategy, projecting that tokenized wholesale markets could generate £33 billion in annual economic output by 2035, according to a post on X.
The projection comes as multiple crypto institutions have begun engaging directly with British financial policy following the country's exit from the European Union. Ripple's support adds weight to tokenization as a policy priority within the government's broader fintech roadmap.
Tokenization converts traditional financial assets—securities, commodities, currencies—into digital tokens on a blockchain or distributed ledger. Wholesale markets, which facilitate large-denomination trades between institutional buyers, are the primary target of the UK's strategy because they require high settlement speed and lower operational friction than retail markets.
The £33 billion figure represents what Ripple estimates as the annual efficiency gain from adopting tokenized settlement infrastructure across UK wholesale financial markets within a twelve-year horizon. The projection assumes adoption of distributed ledger technology for cross-border payments, securities settlement, and derivative clearing.
Ripple has positioned itself as a major player in central bank digital currency infrastructure and tokenized payments through its XRP Ledger network. The company's backing of the UK strategy reflects its commercial interest in wholesale CBDC adoption, where its technology could process cross-border transactions.
The UK government published its tokenization framework in 2023 and has since worked with financial institutions and technology providers to outline implementation pathways. Ripple joins other blockchain and fintech firms in offering technical input to policymakers designing the regulatory sandbox and settlement layer for tokenized assets.
