Ondo Finance, a Layer 1 (L1) blockchain protocol, has just lately introduced the launch of Ondo World Markets, designed to allow non-US traders to entry over 100 tokenized US shares and exchange-traded funds (ETFs) on the Ethereum (ETH) blockchain.
Following this announcement, the value of Ondo’s native token, ONDO, surged over 6% near the $1 mark after opening the week at $0.86, aligned with the broader crypto market’s correction.
Founder Calls Ondo World Markets A ‘Breakthrough’
In line with the protocol’s press release, Ondo World Markets goals to offer one of many largest gateways for international publicity to US markets, notably for eligible traders within the Asia-Pacific, African, and Latin American areas.
The newly launched platform is now reside on the Ethereum blockchain, with plans to increase to different networks, together with BNB Chain, Solana (SOL), and Ondo Chain.
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The brand new platform permits each retail and institutional traders outdoors the US to mint and redeem tokenized US shares and exchange-traded funds 24/5, using conventional trade liquidity the place relevant.
These tokenized belongings are reportedly totally backed by the underlying securities held with US-registered broker-dealers.. Buyers will profit from complete financial returns equal to these of the underlying shares, together with value fluctuations, dividends, and company actions, as every token mirrors the efficiency of its asset.
Nathan Allman, the Founder and CEO of Ondo Finance, expressed enthusiasm in regards to the launch, stating, “Ondo World Markets is a breakthrough in monetary entry.”
He emphasised that the platform permits international traders to faucet into the biggest choice of transferable tokenized US shares and exchange-traded funds on-chain, drawing a parallel to how stablecoins have launched the US greenback into the digital realm.
Bridging Conventional Property And Blockchain Expertise
A spokesperson for Ondo Finance highlighted the similarities between tokenized shares and USD-pegged stablecoins, noting that the previous offers the identical total-return publicity as their underlying belongings:
Tokenizing the US greenback created a wholly new degree of world attain and usefulness for {dollars}. Equally, tokenized Treasuries have exploded in adoption, rising over 7,000% since 2023, as a result of they meet actual wants: 24/7 entry to US dollar-denominated belongings, and the flexibility to carry a stablecoin with yield. Ondo was one of many first movers right here and continues to steer this house, with over $1.4B in TVL throughout 10 chains.
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To facilitate this service, Ondo tokenized shares will likely be supported by a wide selection of main crypto wallets, exchanges, and infrastructure suppliers, together with Bitget Pockets, Belief Pockets, OKX Pockets, and Chainlink, amongst others.
The spokesperson who spoke with The Defiant believes this in depth help community permits traders to simply entry and handle their tokenized equities throughout varied on-chain functions.
When writing, ONDO trades at $0.96, being one of many few tokens recording positive aspects in all time frames. Nevertheless, regardless of the cryptocurrency’s 60% progress year-to-date, it nonetheless trades 54% under its $2 file value.
Featured picture from DALL-E, chart from TradingView.com
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