Ondo Finance Launches Layer-1 Blockchain for Tokenized Real-World Assets
Ondo Finance announced plans to launch its own layer-1 blockchain, Ondo Chain, aimed at tokenizing real-world assets and connecting traditional capital markets with decentralized finance. Key details include:
- Designed to meet institutional compliance while ensuring transparency similar to public blockchains.
- Utilizes permissioned validators for transaction verification and accurate financial data.
- Supports staking of tokenized assets and interoperability between blockchains.
CEO Nathan Allman stated that the initiative aims to enhance financial markets by merging traditional finance with blockchain technology.
The native token, ONDO, experienced fluctuations post-announcement, initially falling 1.5% before rising 3.5%. Following this, World Liberty Financial invested $470,000 in ONDO tokens.
Ondo also recently introduced a tokenization platform for stocks, bonds, and funds. Allman anticipates a two to three-year timeline for significant adoption of tokenized assets.
Tokenization is gaining traction globally, with projections indicating potential market growth into trillions of dollars this decade. Notable financial leaders see tokenized RWAs as pivotal for future financial innovation.
Ondo Finance ranks as the second-largest issuer of tokenized U.S. Treasuries, with a market capitalization of $385 million for its USDY token and $268 million for its OUSG token.