RWA Issuer Ondo Finance Brings $185M Worth of US Treasuries to the XRP Ledger

In the latest cryptocurrency news, Ondo Finance is making waves by announcing its ground breaking initiative to bring $185 million worth of U.S. Treasuries onto the XRP Ledger.

Cryptocurrency markets have reacted positively to news that Ondo Finance, a Real World Assets (RWAs) issuer, will be deploying $185 million worth of tokenized US Short-Term Treasuries on the XRP Ledger (XRPL).

The move will see the OUSG tokens, which are pegged to the US Short-Term Treasuries fund, become available to institutional investors on the XRPL.

According to Ondo Finance, onboarding OUSG to the XRPL will have three key benefits. First, it will give institutional investors on XRPL first-hand access to an investment product that is backed by the US Treasuries fund. Secondly, it will have access to established liquidity that drives up further adoption of tokenized RWAs.

The RWA issuer goes on to state that:

“A key feature of OUSG on the XRPL is going to be seamless interoperability with Ripple’s RLUSD stablecoin … This integration will allow instant minting and redemption of OUSG via RLUSD, empowering users with round-the-clock liquidity and financial flexibility.”

The deployment of OUSG on the XRPL is set to go live over the next six months. Both Ondo Finance and Ripple have committed to seeding OUSG liquidity upon deployment.

The move comes as part of a broader effort by Ripple to increase institutional adoption of the XRP Ledger. In recent months, the company has also announced partnerships with SBI Holdings and PNB Paribas to bring tokenized assets to the XRPL.

The announcement of OUSG’s deployment on the XRPL has already had a positive impact on XRP price. Over the past 24 hours, XRP has rallied by 10%, rising from an opening price of $1.27 to trade at $1.40 at the time of writing.

This positive price action could also be attributed to a recovering crypto market, the liquidation of $3.3 million worth of XRP, and an expectation of positive news from the FOMC meeting.