Ondo Finance Partners With Franklin Templeton to Expand Tokenized ETF Offerings

Franklin Templeton and Ondo Finance are collaborating to tokenize five ETFs, providing 24/7 trading access via blockchain.

These tokenized ETFs offer investors exposure to equities, commodities, and credit markets without relying on traditional brokerage systems.

The initiative expands the use of tokenized real-world assets in financial markets and is available in Europe, Asia-Pacific, the Middle East, and Latin America.

Ondo Finance and Glider have launched a platform for retail investors to create custom portfolios of tokenized U.S. stocks.

This platform allows automated and personalized baskets of tokenized equities, bypassing fixed structures of traditional ETFs.

Users can benefit from tokenized equities beyond standard market hours, and future plans include expansion into commodities and yield generation.

Franklin Templeton and Ondo Finance aim to bridge traditional finance and crypto infrastructure by issuing tokenized versions of investment products.

These tokens are backed by real-world assets like stocks and ETFs, offering direct ownership and round-the-clock trading.

Ondo Global Markets has over $620 million in total value locked and $12 billion in trading volume.

What Is the Current Status of Tokenized ETF Adoption?

Tokenized ETFs are currently available in several international markets but not yet in the U.S.

Regulatory clarity remains a prerequisite for a U.S. launch.

Ondo Finance stated the platform is not yet available in the U.S. but is positioned for potential future expansion.

What Are the Key Benefits and Limitations of Tokenized ETFs?

Tokenized ETFs enable fractional ownership and direct exposure to underlying assets, providing 24/7 trading.

They function as collateral in DeFi ecosystems and offer an alternative to traditional brokerage accounts.

However, regulatory hurdles and geographic restrictions limit their current accessibility.

How Does This Collaboration Affect the RWA Market?

The collaboration reflects a growing trend of asset managers exploring blockchain for product distribution.

Ondo Finance has tokenized over $2.7 billion in assets and is expanding its footprint in the RWA sector.

These initiatives align with the broader growth of tokenized real-world assets, with the RWA market reaching $26.5 billion as of early 2026.