21Shares Ondo Trust SEC Filing Sparks 5% Price Surge in ONDO Tokens

Generated by AI AgentCoin World
Wednesday, Jul 23, 2025 8:48 am ET1min read
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Aime RobotAime Summary

- 21Shares' proposed ONDO ETF triggered a 5% price surge, aligning with Bitcoin ETF structures and managed by Coinbase Custody.

- The non-leveraged in-kind redemption model aims to institutionalize tokenized assets, leveraging Ondo's treasury bond tokenization expertise.

- Ondo CEO emphasized creating a "foundational layer" for tokenized securities, with ONDO trading at $1.12 post-filing but below its $2.14 peak.

- 21Shares' parallel Solana/XRP ETF filings and Ondo's SEC-registered broker-dealer acquisition highlight crypto-traditional market convergence.

The 21Shares Ondo Trust, a proposed spot ETF designed to directly hold ONDO tokens, has triggered a 5% price surge in the asset following its SEC filing. The product, structured to mirror the CME CF ONDO–USD Reference Rate, will offer investors exposure to tokenized real-world assets without requiring direct custody of the underlying tokens.

Coinbase
Custody will oversee the fund’s assets, aligning the structure with recently approved spot
Bitcoin
ETFs and reinforcing institutional confidence in regulatory compliance [1].

The ETF’s non-leveraged, in-kind redemption model—allowing cash or token exchanges—reflects a strategic approach to institutional adoption. Ondo Finance, the protocol behind ONDO, has established itself in tokenizing U.S. treasuries and bonds for institutional use. The 21Shares filing marks a pivotal step in transitioning these assets into tradable instruments via traditional financial infrastructure. Ondo CEO Nathan Allman emphasized the initiative’s role in creating a “foundational layer for tokenized securities,” underscoring interoperability as a key driver of growth [1].

Market reactions have been swift. ONDO’s price rose to $1.12 post-filing, a rebound from its prior peak of $2.14, with analysts noting a “falling wedge” pattern on its chart—a technical indicator often linked to bullish reversals [1]. The token’s listing on Binance US further amplifies its accessibility. However, its current valuation remains below historical highs, suggesting room for volatility in the approval process.

21Shares’ broader crypto ambitions extend beyond ONDO. The firm has simultaneously filed applications for spot

Solana
and
XRP
ETFs, signaling a strategy to bridge traditional markets with blockchain-based assets. Ondo’s recent acquisition of Oasis Pro, a SEC-registered broker-dealer, aligns with regulatory standards and strengthens its infrastructure for tokenized security offerings [1].

The proposed ETF could redefine access to tokenized assets by offering a familiar investment vehicle. If approved, it would represent one of the first ETFs targeting tokenized real-world asset protocols, enabling traditional investors to engage with blockchain finance through regulated channels. Analysts highlight the filing as a “strategic advancement,” reflecting growing institutional confidence in tokenized finance [1].

The SEC’s decision remains pending, with no timeline disclosed. Approval could catalyze broader adoption of crypto-native assets while reinforcing regulatory clarity. For now, the 21Shares Ondo Trust stands as a testament to the evolving intersection of blockchain innovation and institutional finance.

Source: [1] [21Shares Ondo Trust Filing Hits Headlines] https://thebitjournal.com/21shares-ondo-etf-hits-headlines-catch-inside/