Ondo Finance Partners With Franklin Templeton to Tokenize Traditional Investment Products

Ondo Finance and Franklin Templeton are tokenizing traditional investment products like stocks and ETFs on blockchain, enabling 24/7 market access and direct ownership through digital wallets according to CoinDesk.

• The partnership involves tokenizing five Franklin Templeton ETFs, including high-yield corporate and gold ETFs, available for trading on Ondo Global Markets.

• Ondo Finance has grown to $2.5 billion in total value locked (TVL), making it the largest provider of tokenized U.S. Treasuries and 58% market share in the tokenized stock sector.

Ondo Finance and Franklin Templeton are working together to tokenize traditional assets and make them available on blockchain. This collaboration is part of a broader trend in asset management exploring tokenization for greater efficiency and accessibility.

The tokenization of traditional investment products by Ondo Finance and Franklin Templeton aims to expand access to traditional assets while leveraging blockchain for 24/7 trading and direct ownership.

What traditional assets are being tokenized on Ondo?

Ondo Finance and Franklin Templeton are tokenizing ETFs, including high-yield corporate, focused growth, and responsible gold ETFs. These tokenized ETFs will be available for continuous trading on Ondo Global Markets.

In addition, the platform has expanded into tokenized U.S. Treasuries and has secured partnerships with BlackRock and Mastercard to further strengthen its position in the real-world asset sector.

How does this partnership benefit the market?

The collaboration aims to bring institutional-grade products to blockchain platforms and support long-term investing by removing intermediaries and enabling direct access to traditional assets.

Ondo Global Markets reports $620 million in total value locked (TVL) and serves over 60,000 users, demonstrating the potential for tokenization to reshape asset accessibility.

Institutional credibility and regulatory approvals across 30 European markets strengthen Ondo's position and support broader blockchain adoption in asset management.

What are the key limitations or risks?

Tokenization of traditional assets faces regulatory and competitive challenges, including limited access for U.S. users of the tokenized ETFs.

While tokenization introduces efficiency and round-the-clock trading, it also requires navigating complex compliance frameworks and competing with traditional brokerage models.

Ondo Finance must continue to innovate and expand its product suite to maintain its market leadership in the real-world asset sector.

Ondo generates measurable on-chain revenue, distinguishing it from narrative-driven projects and supporting its valuation.