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XRP "Slept Through" the Historic Ripple, JPMorgan, and Mastercard Breakthrough as Another Token Steals the Price Hype
TL;DR
The first-ever cross-border redemption of tokenized U.S. Treasury bonds was completed using Ripple, JPMorgan, and Mastercard technology, settling in under 5 seconds. While ONDO surged 29%, XRP only increased by 2.5%, highlighting a divergence in token performance.
Key points
- First-ever cross-border redemption of tokenized U.S. Treasury bonds completed
- Settlement achieved in under 5 seconds
- ONDO surged 29% while XRP only increased by 2.5%
- Transaction executed outside traditional banking hours
- Ripple utilized Ondo smart contracts for the redemption
Mentioned in this story
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A major event in the fintech industry this week was the completion of the first-ever cross-border redemption of tokenized U.S. Treasury bonds (OUSG). The technological stack involving Ondo, Ripple, JPMorgan and Mastercard enabled settlement in less than 5 seconds; however, for investors the aftermath was not the transaction speed, but the divergence in token performance among the participants.
Technically, the project became a triumph for XRP Ledger as Ripple redeemed its assets using Ondo smart contracts and payment gateways operated by major banks. The transaction was executed outside traditional banking hours, proving that tokenized liquidity can move instantly 24/7.
But Santiment data reveals the market's cold calculation.
How XRP trailed ONDO in market reaction
ONDO surged 29% over the week, gaining another 8% immediately after the announcement, while its price reached $0.348 amid strong accumulation. At the same time, XRP posted a modest 2.5% increase to $1.41 and essentially stood still while millions of dollars moved through its network.
XRP and ONDO price reaction after XRPL pilot announcement, Source: Santiment
Resembling the pattern previously seen in the TON ecosystem, the market is no longer investing in the "rails" - the base networks themselves - based on expectations of future mass adoption, states Santiment. Instead, capital is flowing into specific protocols that generate value on top of those networks.
In this transaction, Ondo Finance acted as the issuer of the yield-generating asset and the market viewed the ONDO token as the "equity" of a profitable business. XRP Ledger, meanwhile, once again confirmed its role as reliable but "invisible" infrastructure. And while this is a victory for the blockchain itself, for token holders it became yet another 'nothingburger'.
While XRP continues struggling with resistance at the $1.44 level, ONDO is benefiting from both its lower base and the growing hype around the real-world asset tokenization sector. The headlines went to Ripple and XRP, but the actual profits ended up in the hands of Ondo holders.
Q&A
What was the significance of the first cross-border redemption of tokenized U.S. Treasury bonds?
It marked a major milestone in fintech, showcasing the capability of tokenized liquidity to operate outside traditional banking hours and settle transactions in under 5 seconds.
How did ONDO's performance compare to XRP after the tokenized bond announcement?
ONDO surged by 29% following the announcement, while XRP only increased by 2.5%, indicating a significant divergence in market reaction.
What technology enabled the settlement of the tokenized U.S. Treasury bonds?
The settlement was facilitated by a technological stack involving Ripple, JPMorgan, Mastercard, and Ondo's smart contracts.
