At Paris Blockchain Week, Markus Infanger, Senior Vice President of RippleX, identified regulatory fragmentation and a lack of clarity as the primary obstacles slowing institutional adoption of the XRP Ledger (XRPL) for tokenization. Infanger argued that while the technology is ready, with the XRPL already processing billions in payments and offering fast, low-cost settlement, the absence of harmonized global regulations is preventing large-scale deployment.
"The sector is at an inflection point where real use cases can be demonstrated at scale," Infanger stated. However, he emphasized that limited regulatory clarity acts as a "first-order barrier" for banks and asset managers. Even when a solution complies in one jurisdiction, it may face legal gaps in another, discouraging significant capital inflows.
Infanger was explicit that clarity alone is insufficient; coherent, cross-border standards are necessary for tokenization to achieve global scale. Monica Long, President of Ripple, added that the XRPL's potential extends beyond payments to areas like sovereign identity and financial inclusion.
In a key development signaling continued institutional confidence, SBI Ripple Asia has completed its token issuance platform on the XRP Ledger. This move underscores that the limiting factor for growth is no longer technological capability but the "regulatory will to build common rules" that provide legal certainty for institutions.
