Key Insights:
- HSBC uses Ripple-owned Metaco technology to support institutional tokenized asset custody services globally today.
- HSBC Orion platform connects with Metaco Harmonize for blockchain-based digital asset issuance and settlement services.
- HSBC joined SWIFT and DTCC blockchain projects involving tokenized assets, XRP, Hedera, and Chainlink networks.
- The tokenized assets market could reach $16 trillion globally by 2030, according to industry forecasts.
HSBC has continued its digital asset strategy through infrastructure linked to Ripple-owned custody firm Metaco. The bank uses Metaco’s technology for HSBC Orion, its platform for tokenized assets and digital securities.
HSBC manages more than $3 trillion in assets and operates across over 60 countries. The partnership with Metaco started in November 2023. Ripple acquired Metaco earlier that year for $250 million.
The integration supports custody services for institutional clients. It also supports tokenized securities, digital asset issuance, and blockchain-based settlement services.
HSBC Uses Metaco Technology for Tokenized Asset Custody
HSBC confirmed in 2023 that it partnered with Metaco to develop institutional-grade custody services. Based on RippleXity, the system runs on Metaco Harmonize, a digital asset orchestration platform used by financial institutions. The custody system is connected to HSBC Orion, the bank’s digital asset issuance platform.
Orion supports tokenized bonds and other blockchain-based financial products for institutional investors. Metaco Chief Executive Officer Adrien Treccani said Ripple’s acquisition would support wider use of XRP Ledger technology in financial markets. HSBC executive Zhu Kuang Lee also addressed the partnership at the time.
Zhu Kuang Lee said the platform would provide “next-generation custody infrastructure that will be scalable and secure.” HSBC has continued expanding blockchain services for institutional clients since the agreement.
The custody service supports tokenized stocks, bonds, exchange-traded funds, commodities, and real estate products. HSBC also uses the system for digital asset issuance across several markets. Ripple has increased its focus on institutional blockchain services after acquiring Metaco. The company has also promoted tokenization and custody services as part of its broader business strategy.
HSBC Participates in Tokenization and Blockchain Settlement Projects
HSBC has also joined several blockchain and tokenization projects linked to global financial institutions. The bank participated in SWIFT interoperability trials involving blockchain-based asset settlement systems.
Some trials included technology connected to Metaco and tested cross-border settlement processes using tokenized assets. Reports also linked the pilots with networks connected to XRP, Hedera, and Chainlink.
HSBC is also part of the DTCC Industry Working Group focused on tokenization infrastructure. The group is preparing a tokenization platform planned for launch in October 2026. The initiative includes more than 50 financial and technology firms. Ripple Prime is also involved in the broader tokenization ecosystem connected to the project.
Market forecasts continue showing growth in digital custody and tokenized assets. Ripple Chief Technology Officer David Schwartz previously estimated the crypto custody market could reach $10 trillion by 2030.
Industry forecasts also project tokenized assets could reach $16 trillion globally before the end of the decade. Banks and financial firms continue investing in infrastructure supporting tokenized financial products.
