1inch has partnered with Ondo Finance to upgrade its Swap API, enhancing access to tokenized real-world assets and offering seamless trading capabilities for major U.S. equities. The collaboration aims to bridge traditional and digital financial sectors, addressing liquidity constraints and boosting market liquidity. The integration of institutional liquidity provider Block Street ensures credibility and market confidence. The partnership is a significant step in DeFi, enabling robust market liquidity and asset transferability.
In a significant move to bridge traditional and digital financial sectors, 1inch has partnered with Ondo Finance to upgrade its Swap API, enhancing access to tokenized real-world assets and offering seamless trading capabilities for major U.S. equities. The collaboration aims to address liquidity constraints and boost market liquidity, marking a substantial step in the decentralized finance (DeFi) landscape.
Ondo Finance, a leading platform for tokenized real-world assets, has launched over 100 tokenized U.S. stocks and ETFs on Ethereum, with plans to expand to BNB Chain and Solana in the near future [1]. The platform, accessible to qualifying global investors, allows users to mint and redeem these assets 24/7, providing exposure to the total economic return of U.S. stocks and ETFs. The assets are fully backed and secured by those held at U.S.-registered broker-dealers and cash in transit.
The integration of 1inch's Swap API with Ondo Finance enables efficient, jurisdiction-aware access to these tokenized assets through its ecosystem, reducing barriers and expanding access where permitted. "By upgrading the 1inch Intent-based Swap API, we're now enabling efficient, jurisdiction-aware access to tokenized assets through the 1inch ecosystem, helping reduce barriers and expand access where permitted," said 1inch co-founder Sergej Kunz [1].
To ensure credibility and market confidence, Ondo Finance has also partnered with Block Street, an institutional liquidity provider that offers permissionless, unified liquidity for tokenized stocks. Block Street's hybrid liquidation engine ensures real-time settlement, making tokenized stocks useful financial tools for arbitrage, structured strategies, hedging, and capital efficiency [2].
The partnership between 1inch, Ondo Finance, and Block Street underscores the growing trend of tokenizing traditional financial assets and integrating them into DeFi protocols. This integration bridges TradFi and DeFi, enabling institutional asset managers, DeFi protocols, and investors to leverage the benefits of both worlds. "Our mission has always been to make stock trading as free and global as the internet," said Ondo Finance CEO Nathan Allman [2].
As tokenized financial assets move from pilot to at-scale deployment, financial institutions with blockchain capabilities in place will have a strategic advantage. According to a recent McKinsey report cited by Block Street, the total tokenized market cap could reach $2 trillion by 2030, excluding stablecoins [1].
References:
[1] https://www.theblock.co/post/369284/ondo-tokenized-stocks-etfs-ethereum-bnb-chain-solana
[2] https://finance.yahoo.com/news/ondo-partners-block-street-unlock-163000007.html
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