Aviva Investors announced on 26 October a new tokenised share class for its Sterling Liquidity Fund, a money market fund with about £22 billion in assets, on the XRP Ledger. The new class has already received £50 million, and the firm's two tokenised classes now exceed £86 million in total. The UCITS fund itself stays off-chain and the tokens act as a digital twin of the shares. Access is for eligible investors with compatible wallets.

What it means: Money market funds are where tokenisation has gone furthest, because they meet a clear need: shares can be used as collateral or swapped for stablecoins around the clock while earning a yield. That a major European insurer and asset manager does it with a UCITS fund matters, as it shows the structure can fit the existing European framework without new legislation. The digital twin approach, with the shareholder register staying in the traditional system, is conservative but practical, as it limits legal risk. The amounts are still small relative to the fund's total assets, which shows this is still a testing phase. For Greek businesses with significant cash, money market funds are a familiar liquidity management tool. The token format may in time allow faster subscriptions and redemptions and cash management outside banking hours. For Greek fund managers, the example shows entry can be gradual, with an extra share class rather than a new product, provided there is agreement with the supervisor.

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