Ondo Finance Launches $185 Million Tokenized U.S. Treasury on XRP Ledger
Ondo Finance is launching its $185 million U.S. Treasury token, OUSG, on the XRP Ledger to target institutional investors. The token is backed by BlackRock’s USD Institutional Digital Liquidity Fund and allows qualified investors to mint and redeem tokens almost instantaneously using Ripple's RLUSD stablecoin. The deployment will go live within six months.
Key points:
- Ripple and Ondo Finance made seed investments for initial liquidity
- ONDO, the governance token of Ondo Finance, increased by 4% following the announcement
- Tokenization of real-world assets (RWA) is growing rapidly, currently valued at $3.5 billion
- OUSG offers 24/7 settlement, enhancing capital flow management
- OUSG is the second tokenized treasury product on XRP Ledger, following OpenEden's TBILL
- Previously available on Ethereum, Polygon, and Solana
Tokenization aims to improve efficiency and speed in asset management compared to traditional banking systems.