Ondo Finance launches platform to tokenise US securities

Ondo Finance has introduced Ondo Global Markets (Ondo GM), a blockchain-based platform aimed at bringing U.S. securities, including stocks, bonds, and exchange-traded funds (ETFs), on-chain.

The company aims to make financial markets more accessible and efficient, addressing challenges within the traditional securities landscape, such as high fees, limited access, transfer frictions, and platform fragmentation.

Ondo Finance compares the potential of this new platform to the impact stablecoins had on the accessibility of U.S. dollars.

By leveraging blockchain technology, Ondo GM seeks to bring institutional-grade financial markets on-chain, enhancing transparency and efficiency.

The platform will facilitate the creation of transferable tokens connected to stocks, bonds, and ETFs, drawing inspiration from stablecoin liquidity models.

Ondo GM will provide access to over 1,000 securities listed on the NYSE and Nasdaq, including equity, fixed-income ETFs, and individual stocks of companies like Apple, Tesla, and Uber.

Each token is backed 1:1 by the security it tracks, and asset trading will be available continually from anywhere in the world.

The platform also supports third-party financial application development through APIs and SDKs, expanding the ecosystem for tokenised securities.

Key features of the Ondo GM platform include broad access to thousands of RWAs, global 24/7/365 availability, instant minting and redemption, full liquidity, built-in access to margin, and on-chain financial services.

Investors can also opt into securities lending to generate additional yield.

Ondo GM's move aligns with a broader industry shift toward blockchain-enabled finance, where tokenisation is increasingly viewed as a solution to outdated financial structures.

In response to the rise of on-chain trading, traditional exchanges are also making adjustments.

For instance, Cboe Global Markets, a major securities exchange, plans to roll out 24-hour weekday trading to meet global customer demand for expanded access to U.S. equities.

The Ondo Short-Term US Government Treasuries (OUSG) token is backed by BlackRock’s USD Institutional Digital Liquidity Fund (BUIDL) and allows qualified investors to mint and redeem tokens nearly instantly using Ripple’s RLUSD (CRYPTO:RLUSD) stablecoin.

The XRPL deployment is set to go live within six months, according to Ondo Finance.