Competition among public blockchains surrounding tokenized reality assets (RWA) is heating up. Foreign media reports that some analysts are beginning to discuss whether funds have already shifted from Ethereum to XRP Ledger (XRPL). This assessment comes against the backdrop of XRPL's expansion in tokenized assets and stablecoin activities this year.
Analysts say XRPL is attracting new funding.
The report, citing analyst Ledger Man, states that some in the market believe the rising popularity of RWA is bringing more funds into the XRPL ecosystem. He suggests that funds may be "quietly" flowing from Ethereum to XRP Ledger.
However, this claim is currently based primarily on analyst estimates and has not yet been confirmed by authoritative on-chain data platforms or official reports. Therefore, it is more appropriate to view it as a market observation at this stage rather than a definitive conclusion about fund migration.
XRPL's RWA scale grew in the first quarter.
Previous reports indicated that the market capitalization of tokenized real-world assets on XRPL grew by over 124% in the first quarter of this year, reaching approximately $2.25 billion. Meanwhile, Ripple's stablecoin RLUSD continues to expand, drawing market attention to XRPL's tokenization strategy.
RLUSD has previously expanded to multiple networks through Wormhole integration, providing developers and institutions with more liquidity options. This type of cross-chain deployment is also seen as part of XRPL's efforts to attract institutional use cases.
Ethereum remains the largest tokenized network
Despite XRPL's rapid growth, Ethereum remains the largest tokenized asset ecosystem. Financial institutions have long preferred Ethereum and its compatible networks due to factors such as more mature infrastructure, a larger developer base, and deeper liquidity.
Many large financial institutions have historically prioritized deploying their tokenization projects within the Ethereum ecosystem. This suggests that the current competition may not be about a single network replacing another, but rather different public blockchains vying for different niche scenarios within the tokenization market.
RWA becomes the focus of competition among public blockchains.
Tokenizing real-world assets has become one of the fastest-growing areas in the crypto industry. Banks, asset management firms, and fintech companies are continuously testing on-chain versions of traditional financial products.
Ripple CTO David Schwartz recently stated that tokenized securities, money market funds, lending, and buybacks are all likely to become important components of the XRPL ecosystem in the future. With more institutions entering the market, competition among public chains surrounding RWA is expected to intensify.
However, at present, the market still lacks cross-verifiable data to support whether large-scale funds have shifted from Ethereum to XRPL. What is certain is that RWA is pushing XRPL and Ethereum to the center of the next phase of on-chain finance competition.
