Ondo Finance Unveils Tokenization Framework to Bring Publicly Traded Securities Onchain

Ondo GM's platform will enable investors outside the U.S. to gain onchain exposure to thousands of U.S. publicly traded securities, including stocks, bonds, and ETFs.

Decentralized finance (DeFi) firm Ondo Finance has announced a major update to its Ondo Global Markets (Ondo GM) platform. The latest development introduces a tokenization framework designed to bring U.S. publicly traded securities onchain.

According to a recent announcement, Ondo GM’s platform will enable investors outside the U.S. to gain onchain exposure to thousands of U.S. publicly traded securities, including stocks, bonds, and exchange-traded funds (ETFs).

Each token will be backed 1:1 by an underlying asset and will be freely transferable outside the U.S. The platform will also support third-party financial application development through application programming interfaces (APIs) and software development kits (SDKs), expanding the ecosystem for tokenized securities.

"1/ Today, we’re excited to unveil a first look at the next evolution for Ondo Global Markets (Ondo GM), our RWA tokenization platform designed to enable onchain access to stocks, bonds, and ETFs.

What stablecoins did for dollars, Ondo Global Markets will do for securities. " pic.twitter.com/ce0PLD9kHc

The new model allows for the creation of freely transferable tokens, similar to stablecoins, to improve liquidity and accessibility in financial markets.

Today’s investing experience remains burdened by high fees, limited access, transfer frictions, and platform fragmentation.

Ondo (ONDO) believes blockchain technology can address these inefficiencies by providing a more open, efficient, and transparent system. A system that models stablecoins

Originally, Ondo GM planned to tokenize securities through a fully permissioned system tied to traditional broker-dealers. However, after discussions with industry stakeholders, the company shifted to a model that mirrors stablecoins, allowing permissions at the distribution layer rather than restricting token transferability.

Key features of Ondo GM include instant minting and redemption, 24/7 global access, full liquidity, built-in margin access, and onchain financial services. Investors can also opt into securities lending to generate additional yield.

The platform’s blockchain-based record-keeping ensures interoperability across financial services, enabling users to borrow, trade, and manage assets without platform lock-in.