TLDR

  • Ondo currently holds over $2 billion in tokenized U.S. Treasuries on the blockchain.
  • The newly launched Ondo Perps platform enables the use of tokenized assets as collateral.
  • Ondo has captured a 60% market share in the tokenized stocks and ETFs sector.
  • Retail adoption is on the rise, particularly in Asia, with new wallet integrations facilitating this growth.

Ondo, a financial services firm operating on the blockchain, is aiming to reshape traditional finance by establishing prime brokerage services on-chain. The company intends to leverage its expanding infrastructure and tokenized assets to build a new digital trading ecosystem. Perpetual futures, or “perps,” represent the initial phase of this strategy, which seeks to broaden access to global markets for investors worldwide.

During an interview at the Ondo Summit, President Ian de Bode projected 2025 as a significant year for Ondo, marked by key advancements in tokenized U.S. Treasuries and stocks. He highlighted the firm’s leading position in tokenized U.S. Treasuries, with a total value locked (TVL) exceeding $2 billion. Ondo’s platform for tokenized stocks and ETFs is also a major contributor, having achieved $600 million in TVL and securing a substantial portion of the market.

The Introduction of Ondo Perps

A significant announcement at the summit was the debut of Ondo Perps, a platform designed for perpetual futures trading on tokenized equities and commodities. A distinguishing feature of Ondo Perps is its ability to accept tokenized stocks and exchange-traded funds (ETFs) as collateral, a capability not found on other platforms. This is expected to attract market makers, enhance liquidity, and enable more sophisticated trading strategies.

By offering these advanced financial instruments, aims to serve both institutional and retail traders looking for new avenues to engage in on-chain markets. Ondo’s approach differentiates itself by integrating tokenized assets directly into crypto trading workflows, allowing investors to trade traditional assets alongside cryptocurrencies.

Global Expansion and Adoption

Ondo’s tokenized assets are gaining momentum beyond the United States, with rapid growth in retail adoption across Asia. Partnerships with major cryptocurrency exchanges, including Binance and MetaMask, have been instrumental in driving this expansion.

Ondo has reported consistent daily net inflows since the launch of its platform in September, with only three exceptions. The firm’s focus on user-friendliness and accessibility through wallets and exchanges is a key factor in its swift global growth.

De Bode emphasized that tokenized stocks are addressing genuine access challenges for investors globally, much like stablecoins have expanded access to the U.S. dollar. This initiative aligns with Ondo’s long-term objective of bridging traditional financial markets with the expanding crypto economy.

Moving Toward On-Chain Prime Brokerage

Ondo’s strategic vision extends beyond tokenized stocks and perpetual futures, with the ultimate goal of establishing a comprehensive on-chain prime brokerage service. This platform would provide investors with a unified environment for trading cryptocurrencies, stocks, ETFs, and derivatives.

While the development of Perps is the initial step towards this broader objective, De Bode clarified that the company’s long-term strategy is centered on building the necessary infrastructure for on-chain financial services. Ondo has already initiated collaborations with prominent financial institutions such as JPMorgan and Mastercard, indicating a growing acceptance of blockchain technology within traditional finance.

Ondo’s strategy involves prioritizing the creation of scalable infrastructure, referred to as “pipes,” before focusing on monetization. As the tokenization of assets continues to expand, the company is positioning itself to be a significant player in the transformation of global finance.