Competition among public blockchains around tokenized real-world assets (RWA) is intensifying. Foreign media report that some analysts are beginning to discuss whether funds have shifted from Ethereum to the XRP Ledger (XRPL), a perception fueled by XRPL’s expansion in tokenized assets and stablecoin activity this year.
Analysts say XRPL is attracting new capital.
The report cited analyst Ledger Man, who noted that some in the market believe the rising interest in RWA is drawing more capital into the XRPL ecosystem, with funds possibly flowing “quietly” from Ethereum to the XRP Ledger.
However, this claim is currently based primarily on analyst estimates and has not yet been uniformly confirmed by authoritative on-chain data platforms or official reports. Therefore, at this stage, it is more appropriate to view it as a market observation rather than a confirmed conclusion of fund migration.
XRPL's RWA volume increased in Q1
Previous reports showed that the market capitalization of tokenized real-world assets on the XRPL increased by more than 124% in the first quarter of this year, reaching approximately $2.25 billion. Meanwhile, RLUSD, the stablecoin promoted by Ripple, continues to expand, driving increased market attention toward XRPL’s tokenization strategy.
RLUSD previously expanded to multiple networks via Wormhole integration, providing developers and institutions with additional liquidity options. This cross-chain strategy is also seen as part of XRPL’s effort to attract institutional use cases.
Ethereum remains the largest tokenized network.
Despite the rapid growth of XRPL, Ethereum remains the largest ecosystem for tokenized assets today. Financial institutions have long preferred Ethereum and its compatible networks due to more mature infrastructure, a larger developer community, and deeper liquidity.
Many large financial institutions' tokenization projects have also primarily been deployed within the Ethereum ecosystem. This means that current competition is less about one network replacing another, and more about different blockchains vying for distinct segments of the tokenization market.
RWA becomes a focal point of competition among public blockchains
Tokenization of real-world assets has become one of the fastest-growing areas in the crypto industry. Banks, asset management firms, and fintech companies are continuously testing on-chain versions of traditional financial products.
Ripple’s Chief Technology Officer, David Schwartz, recently also stated that tokenized securities, money market funds, loans, and repurchase agreements could all become important components of the XRPL ecosystem in the future. As more institutions enter the space, competition among public blockchains around RWA is expected to intensify further.
However, at this time, the market lacks cross-verified data to confirm whether large-scale funds have shifted from Ethereum to XRPL. What is clear is that RWA is positioning both XRPL and Ethereum at the center of the next phase of on-chain financial competition.