JC
July 11, 2025

Multi-Purpose Tokens

A viewer asked: Can you please touch on the multi-purpose token? This recording is Jake Claver's answer, in full and unedited.

Covered in this recordingtokenization

What this recording covers

Claver explains the functionality of multi-purpose tokens for tokenizing stocks and private equities directly on the XRP Ledger. He notes that equity instruments carry specific legal rights and contractual provisions that vary between common stock and preferred shares. These legal terms often include tag-along rights, drag-along rights, rights of first refusal, co-seller rights, and distinct voting powers. Preferred shares also involve specific seniority standing relative to common equity. Claver explains that multi-purpose tokens enable developers to encode these complex corporate governance rules and shareholder rights directly into programmable smart contracts on the ledger. By embedding these provisions into token architecture, the ledger can automate equity management and enforce shareholder stipulations natively without relying on manual administrative intervention.

Where this fits

This page hosts a recorded video and a short summary of what it covers. It is general information, not investment, tax, or legal advice, and not a recommendation to buy or sell any asset or to form any entity. Rules change and older recordings may describe a position that has since moved. Speak to a qualified professional before acting.

More from Jake ClaverFull-length breakdowns on custody, entities, trusts and XRP.

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