Large asset managers are using public blockchains for regulated financial products, but that does not automatically create investment demand for the networks’ native tokens. BlackRock’s BUIDL fund expanded to Avalanche, while Franklin Templeton and partners announced tokenized money-market activity on the XRP Ledger. Both moves validate the technology. Neither guarantees a material cash-flow benefit for AVAX or XRP holders.
What the institutions actually launched
BlackRock introduced BUIDL on Ethereum and later expanded it across several networks through Securitize, including Avalanche. The fund invests in cash, U.S. Treasury bills and repurchase agreements, and its multichain design lets eligible investors use different settlement rails.
Franklin Templeton, DBS and Ripple announced a plan to make Franklin’s tokenized money-market fund available on DBS Digital Exchange using the XRP Ledger. The arrangement uses Ripple’s RLUSD stablecoin for trading, with a future collateral function discussed as a possible next phase.
Network use is not the same as token value
Transactions on Avalanche require AVAX for fees, while the XRP Ledger uses small amounts of XRP. A tokenized fund can therefore increase network activity. The economic effect may remain modest because money-market investors often hold positions rather than trade them frequently, and transaction fees are intentionally low.
BlackRock’s multichain approach also reduces exclusivity. If investors can move among networks, one deployment is evidence of technical acceptance rather than proof that a single chain will dominate institutional finance. On XRPL, the use of RLUSD means the fund can grow without requiring investors to hold a large XRP balance.
What investors should watch
Useful measures include fund assets actually issued on each chain, transfer frequency, fees paid and whether collateral features enter production. Announced partnerships and total fund assets across all networks should not be attributed entirely to Avalanche or XRPL.
BTI's bottom line
Institutional tokenization is becoming real infrastructure. For native-token investors, the missing link is measurable value capture: recurring activity that creates sustained demand for AVAX or XRP rather than simply using the networks as low-cost databases.