Ondo Finance Launches Blockchain for Real-World Asset Tokenization

Ondo Finance, a pioneering blockchain-based financial services provider, has launched its proprietary Layer 1 blockchain, Ondo Chain, designed to facilitate the tokenization of real-world assets (RWAs) and enhance institutional adoption of decentralized finance (DeFi). The launch, announced on February 6, 2025, aims to bridge traditional financial markets with the burgeoning DeFi ecosystem by offering a compliance-focused infrastructure.

Ondo Chain is built to address major challenges in tokenized securities, such as high transaction fees, liquidity fragmentation, and regulatory compliance. By combining features of both public and permissioned blockchains, Ondo Chain allows institutions to benefit from public blockchain accessibility while maintaining compliance with financial regulations through permissioned validators.

Several major financial institutions, including Franklin Templeton, Wellington Management, and WisdomTree, are partnering with Ondo Finance to shape the design of Ondo Chain. Nathan Allman, CEO of Ondo Finance, commented on the launch, stating, "Financial markets are overdue for an upgrade. Ondo Chain is designed to meet the highest institutional standards while remaining open for developers and innovators."

On the same day as the blockchain announcement, World Liberty Financial, a decentralized finance platform backed by Donald Trump and his family, invested $470,000 in ONDO tokens. The firm swapped USDC for 342,000 ONDO tokens through CoW Protocol, marking its second purchase in two months. These tokens were later sent to Coinbase Prime.

Following the announcement, ONDO's price has experienced fluctuations, with the token trading at $1.298, down 3.7% in the past 24 hours as the broader crypto market trends downward. Technical analysts are monitoring ONDO's price levels, with a break above $1.50 potentially leading to further gains, targeting $1.64, $1.94, and $2.10. Investors are watching for increased adoption of Ondo Chain, which could drive further price movements in the coming weeks.