Ondo Finance Expands with $185M Tokenized U.S. Treasury Offering on XRP Ledger, Fueling Institutional Growth

Ondo Finance, a leading tokenized real-world asset (RWA) platform, is bringing its $185 million U.S. Treasury token, OUSG, to the XRP Ledger (XRPL). Announced Tuesday, this strategic move aims to cater to institutional demand by leveraging XRPL’s enterprise-focused blockchain capabilities.

The Ondo Short-Term US Government Treasuries (OUSG) token is backed by BlackRock’s USD Institutional Digital Liquidity Fund (BUIDL). This innovative token enables qualified investors to mint and redeem assets round the clock with near-instant settlement using Ripple’s RLUSD stablecoin. The integration with XRPL is expected to go live within six months, according to a blog post by Ondo Finance.

In a joint effort to ensure liquidity, Ripple and Ondo Finance have both committed seed investments in the token’s deployment on XRPL. However, the size of these allocations remains undisclosed.

A Growing Trend: Tokenized Real-World Assets

The tokenization of RWAs, which includes assets like bonds and funds, has emerged as a key trend in blockchain finance. These digital representations offer significant benefits, including faster settlements and enhanced efficiency compared to traditional financial systems. Notably, tokenized U.S. Treasury notes have surged in popularity, quadrupling over the past year to form a $3.5 billion market, according to rwa.xyz.

Markus Infanger, Senior VP of RippleX, highlighted the transformative potential of tokenized assets, stating, “The 24/7 intraday settlement enabled by OUSG marks a shift in capital flow management. These low-risk, high-quality liquidity options provide better accessibility for investors while adding stability to blockchain-based markets.”

OUSG will join OpenEden’s TBILL as the second tokenized Treasury product on the XRP Ledger, expanding its reach beyond Ethereum, Polygon, and Solana.

The news boosted Ondo Finance’s governance token, ONDO, by 4%, reflecting market optimism about the platform’s innovative approach to integrating RWAs with blockchain technology.

Also Read: Sui (SUI) Faces 25% Drop, Ondo (ONDO) Set for 20% Decline: Key Stats & Bearish Signals Flash

As institutions increasingly seek blockchain solutions for asset management, Ondo Finance’s move to XRPL underscores the growing demand for accessible, stable, and efficient financial products in the digital era.

Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of Chain Affairs. Before making any investment decisions, you should always conduct your own research. Chain Affairs is not responsible for any financial losses.

About The Author

Cardano ADA Previous post Cardano (ADA) Eyes Bullish Momentum as it Surges 8%—Can It Break $1 in February?
PEPE MEMECOIN Next post Pepe Coin Price Crash: Indicators Signal Potential 122% Rebound as Whale Accumulation Rises