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Cryptocurrency News Articles
Ondo Finance Announces Ondo Chain, a Layer 1 Blockchain Purpose-Built for Institutional-Grade RWA Tokenization
Feb 07, 2025 at 08:16 pm
Design advisors for the chain include new members of the Ondo Ecosystem: Franklin Templeton, Wellington Management, WisdomTree, Google Cloud, ABN Amro, Aon
Key Takeaways:
Ondo Finance, a pioneer in the RWA tokenization sector, has unveiled its layer 1 blockchain, "Ondo Chain," which has been among the most eagerly awaited launches in the industry. Ondo Chain was officially launched at the Ondo Summit in New York on February 6, 2025. This marks a major shift from traditional finance (TradFi) to decentralized finance (DeFi), offering institutions a secure, compliant, and efficient platform for real-world asset (RWA) tokenization.
Ondo Chain: A Hybrid Approach to Blockchain Innovation
Unlike public blockchains like Ethereum, which prioritize transparency and accessibility, Ondo Chain balances security with regulatory compliance, creating a trusted environment for financial institutions. This interesting combination of aspects is designed to create a playing field where established financial institutions can both be profitable and compliant with the DeFi revolution without compromising the regulation framework or security.
1/ Today, we’re thrilled to announce Ondo Chain, our new Layer 1 blockchain purpose-built for institutional-grade RWAs.
Design advisors for the chain include new members of the Ondo Ecosystem: Franklin Templeton, Wellington Management, WisdomTree, Google Cloud, ABN Amro, Aon,… pic.twitter.com/a35GHB7OFW
— Ondo Finance (@OndoFinance) February 6, 2025
Addressing the Bottlenecks: Why a Specialized Blockchain Matters
Ondo Chain was created to address the challenges of integrating traditional financial assets into DeFi. Most public blockchains lack the features, efficiency, and usability required for institutional-grade RWA tokenization:
Ondo Chain addresses these challenges by creating a specialized ecosystem for institutional RWA trading, reinforcing its commitment to bridging blockchain with traditional finance.
Unveiling Ondo Chain’s Core Features: The Key to Bridging the Gap
In an attempt to address these issues and bring about the seamless integration of RWAs in the booming DeFi environment, Ondo Chain merges in new features which are the outcomes of substantial research carried out to understand what problems institutional participants in the network face:
Ondo Global Markets (OGM): Unlocking Onchain Access to Traditional Assets
Alongside Ondo Chain, Ondo Finance is expanding its ecosystem with Ondo Global Markets (OGM), a platform designed to provide on-chain access to traditional assets such as U.S. stocks, bonds, and ETFs. OGM aims to tokenize over 1,000 securities from leading exchanges like NYSE and Nasdaq.
Ondo Finance CEO Nathan Allman Emphasizes Strategic Vision
According to Nathan Allman, CEO of Ondo Finance, this step consolidates the abstract concept of inclusivity and interoperability. In his words: “If stablecoins have helped bring the U.S. dollar onchain, then Ondo Global Markets will do the same for securities.“
This strategic and well-executed approach has positioned Ondo Finance as a leader in the rapidly evolving RWA sector.
The Power of Strategic Alliances: Institutional Backing Propels Ondo Chain Forward
Ondo Finance has secured partnerships with major financial institutions backing Ondo Chain, including:
Furthermore, through these strategic partnerships Ondo Finance is able to obtain essential knowledge which it would have been difficult for them to acquire elsewhere. The alliances give them technological insights and acquisition and let Ondo Finance build the Ondo Chain that is not only robust but also scalable for institutional investors.
World Liberty Financial’s Endorsement: A Bullish Signal for Ondo Finance
World Liberty Financial, WLF, a Uncle Don’s finance association, gives out the endorsement to Ondo Finance being a strategic visionary as well as a member in the field of technology and innovation with strong members behind the project. Their stamp of approval was confirmed through a $470,000 investment in ONDO tokens which was recently announced by World Liberty Financial. World Liberty Financial through this move aims to confirm the project that the investment is the right one and all communities that Ondo Finance will be cooperating with are open-minded.
Interview with the Co-Founder of World Liberty Financial Chase Herro on the Company’s Strategic Roadmap and Future Discoveries
The co-founder of World Liberty Financial, Chase Herro, presented the organization’s willingness to create a “strategic reserve” consisting of the tokens it brings to the table, i.e., ONDO, which would provide a long-term commitment to the Ondo Finance ecosystem.
Price Volatility and ONDO Token Dynamics
Following the launch of Ondo Chain, the ONDO token has experienced expected market fluctuations. Despite a broader crypto downturn, ONDO remains stable at $1.44 as of February 7th, showing potential for future growth.
Ondo TVL has soared from $568.32 million on January 31 to $653.44 million on Friday, according to the DefiLlama data. The continuous surge of the numbers since January 16 is obvious.
More user activities and an increase in interest within the Ondo ecosystem which have made
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