Ondo, J.P. Morgan, Mastercard & Ripple Pull Off First Near Real-Time Tokenized Treasury Settlement Across Borders
A landmark pilot between Ondo Finance, Kinexys by J.P. Morgan, Mastercard, and Ripple is pointing to a new phase in global finance, where blockchain networks and traditional banking systems are increasingly converging toward real-time settlement and integration.
Ondo Finance has completed the first near real-time, cross-border redemption of a tokenized U.S. Treasury fund, marking a notable step in connecting blockchain-based assets with traditional financial systems.
More notably, the pilot was carried out in collaboration with Ripple, Mastercard, and J.P. Morgan’s Kinexys infrastructure, using the XRP Ledger (XRPL) as the execution layer.
The process linked public blockchain activity with regulated banking rails in a coordinated settlement flow. Ripple initiated the redemption of tokenized assets on XRPL, triggering the on-chain transaction.
Mastercard’s Multi-Token Network then relayed the settlement instructions across institutional systems, effectively translating blockchain execution into traditional financial messaging and enabling seamless coordination between digital asset infrastructure and conventional banking networks.
From there, J.P. Morgan’s Kinexys infrastructure handled the fiat leg, routing USD through its correspondent banking network to Ripple’s Singapore account. The settlement completed in near real time, bypassing the usual banking cut-off windows that often delay cross-border transfers.
Why is this a game-changer? Well, the result was a unified flow where tokenized asset redemption on a public blockchain directly triggered fiat settlement through regulated banking rails. Instead of operating in separate systems, both sides worked as one continuous, connected transaction.
Ondo’s Landmark Tokenized Treasury Redemption Points to a 24/7 Blockchain Finance Future
Ondo Finance says this is the first instance of tokenized U.S. Treasuries being redeemed across borders and banking institutions in near real time.
Therefore, the pilot shows that blockchain-based financial assets can now connect directly with global settlement systems, removing the need for manual reconciliation or the delays typical of traditional processing cycles.
Beyond the single transaction, the significance is broader. It points to a functioning model for always-on financial markets, where asset redemption and payment settlement can happen continuously, independent of conventional banking hours or cut-off windows.
Ian De Bode, President of Ondo Finance, noted that the collaboration lays the foundation for always-on global markets, where public blockchain systems and institutional rails operate seamlessly together. He pointed out:
“This milestone represents the first time tokenized U.S. Treasuries have settled across borders and banks in near real time and outside traditional banking windows. By connecting public blockchain infrastructure with interbank settlement rails, Ondo, Kinexys by J.P. Morgan, Mastercard, and Ripple are laying the groundwork for 24/7 global markets that never close.”
On the XRP Ledger, activity has been picking up, with rising transfer volumes, skyrocketing adoption of tokenized U.S. Treasury products, and record network address growth, signals that institutional use cases are starting to gain real traction.
Well, a new leaf is being turned because the XRPL pilot offers a practical early model for how tokenized real-world assets and global banking infrastructure could eventually merge into a single, real-time financial system.
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