Australian Government Bond Tokenized on XRP Ledger With Settlement in RLUSD Stablecoin

Australia’s Project Acacia tested tokenized government bonds on the $XRP Ledger, using Ripple’s $RLUSD stablecoin for settlement.

$XRP community member Eri highlighted details from the Reserve Bank of Australia’s final Project Acacia report. Remarkably, the report said an Australian government bond was fully tokenized on the $XRP Ledger. The settlement was completed using $RLUSD, Ripple’s stablecoin, while JPMorgan was involved in custody services.

Key Points

• Australia’s Project Acacia tested tokenized government bonds on the $XRP Ledger using $RLUSD for settlement.
• The Reserve Bank of Australia said the trials explored faster settlement and lower operational risk in markets.
• Project Acacia included pilots across Ethereum, Hedera, Redbelly, and $XRP Ledger, involving real assets.
• Officials say there is still more work before tokenized finance infrastructure can scale across wholesale markets.

$XRP Ledger Among Selected Networks

Notably, Project Acacia involved experimentation from August 2025 to February 2026 across 20 use cases. These include 12 pilot programs involving real money and real assets.

The initiative brought together banks, fintech firms, custodians, exchanges, stablecoin issuers, fund managers, and financial market infrastructure providers to explore tokenization in wholesale markets.

The Reserve Bank of Australia and Digital Finance CRC said pilot programs were conducted across several blockchain platforms, including Ethereum, Hedera, Redbelly Network, and the $XRP Ledger.

The experiments covered tokenized government bonds, corporate bonds, private credit, repos, carbon credits, structured products, and tokenized receivables. Settlement assets included stablecoins, commercial bank deposit tokens, pilot wholesale CBDCs, and applications involving central bank balances.

Tokenization is More Efficient and Scalable

The report outlined several potential benefits observed during the trials. They include lower issuance costs, automated lifecycle management, streamlined settlement, and reduced operational risk.

Project Acacia participants also tested features tied to programmability, composability, fractional ownership, and decentralized infrastructure. The report noted that decentralized systems could improve resilience by reducing reliance on a single operator or infrastructure provider.

While discussing network decentralization, the report stated that Ethereum has thousands of nodes, while the $XRP Ledger has hundreds.

The report further emphasized that tokenization could improve transparency by creating a shared source of truth for multiple assets and enabling investors to access verifiable, real-time information.

Further Work Ahead, Reserve Bank of Australia Says

In remarks accompanying the release of the final report, chairman Brad Jones said the project demonstrated “significant and growing industry interest in tokenization.”

Jones stated that industry participants and regulators were particularly interested in the potential of tokenized markets to improve the efficiency of issuance, trading, and settlement, reduce settlement risk, and expand liquidity access.

He added that further work is still required to address scaling challenges surrounding tokenized asset markets and new forms of digital money.

According to Jones, the Reserve Bank of Australia, the Digital Finance CRC, and partner agencies plan to continue developing initiatives to support experimentation and the adoption of tokenized finance infrastructure.