Brazil’s VERT Debuts Tokenized Credit Platform on XRP Ledger With $130M Issuance
Brazilian securitization and fund manager VERT has launched a blockchain-based platform for private credit transactions using the XRP Ledger and its compatible Ethereum sidechain. This marks a significant step in bringing tokenized real-world assets (RWAs) to the blockchain ecosystem.
The platform’s debut transaction involved the issuance of a BRL 700 million (approximately $130 million) Agribusiness Receivables Certificate (CRA). CRAs are regulated instruments financing agricultural production in Brazil, a sector contributing over 20% to the country’s GDP. This makes Brazil a key testing ground for innovative digital financial tools.
The tokenization of the CRA exemplifies the growing trend of using blockchain technology to manage traditional financial instruments like bonds and credit. This approach promises faster, more efficient settlements and broader investor access, particularly beneficial in emerging markets with less-developed capital markets. The XRP Ledger is emerging as a central hub for tokenized RWAs, further evidenced by Dubai’s plan to tokenize $16 billion in real estate by 2033 on the same network.
VERT’s platform enhances transparency and traceability in structured credit operations by recording asset issuance and lifecycle events directly on the blockchain. Importantly, the platform is designed to integrate with Brazil’s existing regulated financial infrastructure and incorporates off-chain redundancy to ensure compliance.
According to Gabriel Braga, VERT’s digital assets director, this initiative represents a pivotal step towards establishing tokenization as a cornerstone of modern capital markets. He highlighted the increased transparency demanded by foreign investors as a key driver. Silvio Pegado, Ripple’s managing director for Latin America, emphasized the significance of this development for Brazil’s agribusiness sector and the broader modernization of financial markets. Ripple, a key contributor to the XRP Ledger, actively participated in the project’s development.
VERT plans to expand the platform to encompass additional asset classes and structured credit deals exceeding $500 million in value. This initiative showcases the practical application of blockchain technology in streamlining financial processes and improving access to capital for businesses in developing economies.
