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ONDO Cryptocurrency Guide – Forbes Advisor Australia
The implementation of institutional quality financial products is Ondo Finance’s priority. The company uses blockchain technology to provide decentralized finance (DeFi) products and services. The main products offered by Ondo Finance include:
- Fixed yield loans backed by crypto assets, using the Flux Finance protocol he developed.
- Tokenized real-world assets denominated in US dollars via its OUSG, USDY and OMMF tokens.
- The Ondo token bridge and converter, which supports the movement of assets between chains.
The platform’s tokenized products have generated a lot of excitement and allow investors to bridge the gap between traditional regulated assets and the convenience of blockchain to benefit from real-time securities trading, 24/7 7, without the need to use a broker.
Ondo Finance launched its first tokenized product in 2023 on the Ethereum blockchain and now leverages a variety of blockchains to provide tokenized assets, including Solana, Aptos, Injective, Mantle, MANTRA, Noble, Polygon and Sui.
In addition to its blockchain partners, the company’s ecosystem includes custodial providers, over-the-counter (OTC) desks, liquidity platforms, and service providers such as Coinbase, BlackRock, and Morgan Stanley. Its products are aimed at high net worth individuals and institutional investors, who must meet certain criteria and know your clients’ requirements (KYC).
Ondo Finance’s tokenized RWA products include:
- OUSG, a token that allows investment in US Treasury bonds primarily through BlackRock’s USD Institutional Digital Liquidity Fund (BUIDL) and BlackRock’s FedFund (TFDXX).
- USDY, a tokenized yield-generating security backed by short-term U.S. Treasury bills and bank demand deposits.
- OMMF, which tokenizes U.S. government money market funds to replace dollar settlement and collateral in the OTC trading and lending space.
The project was founded and remains led by Nathan Allman, whose professional experience includes a financial role at Goldman Sachs. While primarily an asset manager specializing in tokenized digital assets and liquidity lending, the project is also developing technology to support scaling and interoperability of tokenized assets in chain.
Data from DefiLlama shows that among major RWA protocols, Ondo Finance ranks second in terms of total value locked (TVL) with $549.92 million.