Ondo Finance (ONDO) Secures FINRA Authorization for Tokenized US Equities Amid Tokenomics Pressures

• Ondo Finance's regulatory subsidiary, Oasis Pro Markets, has received FINRA authorization to offer tokenized corporate equities and funds to US retail and institutional investors, marking a significant expansion in market access.

• The approval enables settlement in traditional fiat currency or supported stablecoins, allowing direct transfers between blockchain wallets for National Market System equities and ETFs .

• Despite this regulatory milestone, the ONDO token trades more than 80% below its all-time high, driven by heavy future token unlocks and a lack of revenue-sharing mechanisms for holders.

• Ondo is simultaneously advancing institutional infrastructure with BlackRock, J.P. Morgan, and Goldman Sachs for tokenizing Russell 1000 equities, scheduled for live deployment in July 2026.

• The platform's growth contrasts with the XRP Ledger's RWA expansion, where tokenized assets dominate but do not directly translate to native token demand due to stablecoin settlement preferences.

• Ondo Finance's governance vote to burn 100 million ONDO tokens concludes July 25, 2026, aiming to address supply overhangs and align token value with platform success .

How Does FINRA Authorization Change Ondo Finance's Market Position?

Ondo Finance has cleared a major regulatory hurdle with FINRA authorization for its subsidiary, Oasis Pro Markets, to offer tokenized securities to a broader investor base . This authorization allows the SEC-registered broker-dealer to handle over-the-counter retailing, underwritten primary offerings, and private placements . The approval permits Oasis Pro Markets to operate a platform for primary securities offerings and secondary market trading of tokenized securities .

Investors can now access National Market System equities, ETFs, mutual funds, index funds, and securities issued through IPOs . Settlements can be processed in traditional fiat currency or supported stablecoins, including direct transfers between blockchain wallets . This regulatory milestone builds on Ondo's acquisition of Oasis Pro in October 2025, which provided the company with an SEC-registered broker-dealer, alternative trading system, and transfer agent .

The platform has surpassed $1 billion in total value locked and lists over 260 tokenized US stocks and ETFs . In early July, Ondo launched its tokenized-stock model featuring real securities such as BlackRock's iShares Core S&P 500 ETF and Micron shares, with Oasis Pro acting as the transfer agent . The FINRA clearance is expected to significantly widen the pool of eligible buyers for these digital assets .

What Are the Key Risks for ONDO Token Holders?

A critical disconnect exists between Ondo Finance's operational growth and the ONDO token's performance . The token trades more than 80% below its all-time high, largely due to supply dynamics rather than fundamental failure . With only 49% of its 10 billion token supply currently circulating, significant dilution is imminent . Approximately 6.5 billion tokens are scheduled to vest between 2026 and 2028 .

Historical precedent shows that recent unlocks have triggered sustained selloffs, as the float expanded faster than demand . For the token price to remain stable at current levels through full dilution, the market capitalization would need to roughly double . The primary structural risk is value accrual, as Ondo generates revenue from managing tokenized assets without a demonstrated mechanism to transfer profits to ONDO holders .

Unlike traditional equity, the governance token does not automatically capture the economics of the underlying business . Competitors with larger balance sheets are also entering the space, challenging Ondo's regulatory lead . Investors must monitor whether Ondo introduces fee-sharing or buyback programs to align token value with platform success .

How Is Ondo Finance Advancing Institutional Tokenization Infrastructure?

Ondo Finance is advancing its tokenization infrastructure with significant traditional finance participation . A DTCC-linked initiative, scheduled for live deployment in July 2026, involves BlackRock, J.P. Morgan, and Goldman Sachs tokenizing Russell 1000 equities and US Treasury bills . This represents a structural shift in how institutional assets are handled, moving toward on-chain settlement .

In parallel, Ondo has completed a cross-border settlement pilot with J.P. Morgan's Kinexys platform, Mastercard, and Ripple . The pilot demonstrated the ability to settle tokenized Treasuries in under five seconds, highlighting potential efficiency gains over traditional T+2 settlement cycles . The platform's Institutional Marketplace allows accredited investors to trade tokenized US Treasuries, corporate bonds, and private credit instruments .

Key mechanics include instant settlement, 24/7 liquidity, and a reduced minimum investment of $100 via SEC Regulation D issuance . This contrasts with traditional private markets, which typically require $10,000 minimums and have limited trading hours . Ondo Finance underwent a leadership transition in May 2026 following the passing of co-founder Nathan Allman, with Ian De Bode appointed as CEO to oversee institutional continuity .

How Does Ondo Compare to Other RWA Platforms Like XRPL?

The XRP Ledger has seen significant growth in Real-World Assets, with total value reaching substantial levels . Justoken, a key player, tokenized over $2.84 billion, including an energy project with YPF Luz . Distributed assets, including tokenized Treasuries from issuers like Ondo Finance and Braza Crypto, now represent a smaller but growing segment compared to represented assets .

Stablecoins dominate transactional activity on the ledger . Ripple's RLUSD is the largest stablecoin on XRPL, with nearly $895 million in value . Total XRPL stablecoins approached $1 billion, with $4 billion in transfer volume over 30 days . A notable pilot demonstrated near real-time settlement of tokenized US Treasuries across borders and banks .

However, RWA growth does not equate to direct demand for XRP . Most institutional products use XRPL for issuance and settlement while paying only small network fees in XRP . Stablecoins like RLUSD handle the cash side of transactions without using XRP as a bridge asset . The asset mix favors represented assets over distributed assets, which is critical for understanding the actual utility and demand drivers for the native XRP token versus the ledger's broader ecosystem activity .