visimoney
TLDR:
- Ondo Finance is expanding its tokenized treasury offerings to Asia Pacific investors.
- Tokenized treasuries offer advantages such as on-chain transferability and interaction with smart contracts for DeFi opportunities.
Ondo Finance, a United States Treasury tokenization protocol, is looking to capitalize on the conflux of traditional finance and blockchain technology by expanding its tokenized treasury offerings to Asia Pacific investors. The protocol opened its first office in Hong Kong last month, with CEO Nathan Allman highlighting the benefits of tokenized treasuries over traditional holdings. These advantages include on-chain transferability, 24/7 trading on exchanges and over-the-counter, and the ability to interact with smart contracts for DeFi opportunities.
Ondo offers products like OUSG, OMMF, and USDY, each providing exposure to different financial instruments with annual yields of around 5%. The protocol plans to bring more than $100 trillion of securities on-chain in the future, addressing core infrastructure-level challenges to facilitate tokenized securities on public blockchains. However, current regulatory uncertainties prevent U.S. investors from accessing Ondo’s tokenized assets, with non-U.S. users needing to pass verification checks and hold assets for a minimum period before transferring.
Regulators in jurisdictions like Hong Kong are paving the way for real-world asset tokenization, with new rules expected to take effect later this year. Ondo Finance remains focused on expanding its tokenized treasury offerings and leveraging the benefits of blockchain technology to create new opportunities for investors worldwide.
