The EU Has a $5 Trillion Problem That Ripple’s XRPL Could Help Fix

Axiology is developing a regulated blockchain infrastructure on the XRP Ledger (XRPL). CEO Marius Jurgilas, speaking on RippleX’s Onchain Economy series, stated the goal is to integrate capital market systems into a single, compliant framework. He described the vision as an institutional-grade system for managing issuance, trading, settlement, and investment.

Related: Banks on XRP Ledger? Aberdeen & Societe Generale Eye Tokenization

The Goal: Eliminating Intermediaries in Capital Markets

Jurgilas noted the current financial structure requires multiple intermediaries, like brokers and custodians, just to buy a government bond. Axiology aims to eliminate those layers by leveraging the XRPL. This model streamlines direct access between issuers and investors.

Jurgilas stressed this is only feasible within a regulated framework, adding that compliance is central to achieving global scale.

The Real Hurdle: Institutional Education, Not Technology

Jurgilas disclosed that many partners and institutions still lack a clear understanding of tokenized finance and the role of blockchain in regulated markets. He pointed out that basic ledger functions, such as transferring value between wallets, often appear complex to decision-makers unfamiliar with digital asset systems. To close this gap, he noted that Axiology focuses on explaining blockchain as a secure database structure that supports transparency and control, key attributes for regulated market activity.

He stated that the real challenge is not technical feasibility, but rather the institutional ability to align with requirements for privacy, cybersecurity, and controlled data sharing. These elements, he said, are essential for risk management and compliance teams within financial organizations that seek to participate in blockchain-based systems.

The $5 Trillion Opportunity: Unlocking EU SME Funding

Jurgilas highlighted a major imbalance in the European Union. Small and medium-sized enterprises (SMEs) face a funding gap of about $5 trillion, while $15 trillion remains idle in bank deposits. He argued that compliant, direct capital-flow infrastructure could help narrow that gap.

According to Jurgilas, the focus should be on scalable, regulated solutions that meet existing needs, not on experimental tech. He said institutional-grade blockchain must prioritize investor protection, risk control, and adherence to established financial standards.