Ondo Finance Launches Layer-1 Blockchain for Institutional Finance

Ondo Finance, a leading platform for tokenized real-world assets, has announced the launch of its Layer-1 blockchain, Ondo Chain. The new network is designed to cater to institutional finance, combining the security and compliance of private chains with the accessibility of public blockchains like Ethereum.

The Ondo Chain will rely on permissioned validators to verify transactions and ensure accurate financial data, such as asset prices and token backing. It will also support staking of tokenized real-world assets and native bridging between blockchains for interoperability. This innovative approach aims to connect traditional capital markets with decentralized finance, creating an ecosystem that bridges the best of traditional finance with blockchain technology.

Ondo Finance, the second-largest issuer of tokenized U.S. Treasuries offerings, has already made significant strides in the tokenization market. The company recently unveiled a tokenization platform that helps place stocks, bonds, and funds on blockchain rails. This announcement comes on the heels of the growing interest in tokenization, which is projected to grow the tokenized RWA market to trillions of dollars by the end of the decade.

Several influential leaders in the financial world have recognized the potential of tokenized real-world assets as the next frontier of financial innovation. Larry Fink, CEO of BlackRock, has urged U.S. regulators and policymakers to create rules for security tokens, while Vlad Tenev, co-founder and CEO of Robinhood, has proposed rule changes to unlock tokenized asset investments for retail investors.

The Ondo Chain's launch is a significant step towards integrating traditional finance with blockchain technology. By combining the security and compliance of private chains with the accessibility of public blockchains, Ondo Finance is poised to revolutionize the way real-world assets are traded and managed.