A strategic partnership has been formed between Ripple and Jeel, the fintech arm of Riyad Bank, to accelerate blockchain adoption in Saudi Arabia, with initial focus on cross-border payments, digital asset custody, and asset tokenization.

The joint program targets cross-border settlement, regulated digital asset custody, and tokenization to support Vision 2030 objectives and reduce dependence on oil-driven revenue.

RLUSD has begun trading on major platforms like Binance, signaling growing access for institutional digital assets.

Digital asset custody frameworks will be assessed against local compliance standards to enable broader institutional participation in blockchain assets.

The collaboration will test practical use cases in regulated environments, prioritizing cross-border payments, asset custody, and tokenization, with early testing focused on cross-border settlement systems to boost speed, transparency, and cost-efficiency.

Regulatory considerations include Saudi Central Bank guidelines, data privacy, and alignment with Riyad Bank’s standing, with phased pilots and gradual rollout guiding implementation.

Global tokenization activity is rising, with the XRP Ledger surpassing $1 billion in on-chain tokenized assets, driven by tokenized US Treasuries and RLUSD adoption.

The collaboration positions Saudi Arabia as a forward-looking financial hub and exemplifies international fintech cooperation with local institutions to push modernization and efficiency in the Kingdom.

The Middle East, with the UAE at the forefront, is expanding blockchain and digital asset initiatives, drawing global participants through clearer regulatory regimes.

Tokenization efforts will explore converting traditional assets into blockchain assets to improve liquidity and enable fractional ownership within regulated environments.

Testing will occur in Jeel’s regulatory sandbox to ensure compliance while exploring real-world applications in cross-border flows, custody, and tokenization.

Ripple has secured regulatory approval for RLUSD in the UAE for institutional use cases like payments and settlement, underscoring regulatory progress in the region.