Ondo Launches Real-Time On-Chain Trading Service for US Stock IPOs

Ondo Finance has launched a real-time on-chain trading service for U.S. stock IPOs in partnership with MetaMask. The service allows eligible users in supported non-U.S. jurisdictions to trade tokenized U.S. stocks and ETFs directly through the MetaMask mobile app according to reports. This marks one of the first major integrations of tokenized equities into a mainstream self-custodial wallet as detailed by Coindesk.

The offering includes more than 200 tokenized assets covering companies like Tesla, Apple, and NVIDIA, as well as ETFs tied to gold, silver, and the Nasdaq according to Cointelegraph. These assets are represented by GM tokens, which track the value of their underlying assets in a 1:1 ratio. Users can acquire these tokens through MetaMask Swaps using USDC stablecoins as reported by The Block.

Tokenized assets are currently available only to non-U.S. users in select jurisdictions. The offering excludes the U.S., U.K., Canada, the European Economic Area, China, and Russia, among others as stated in reports. This restriction is due to the lack of U.S. securities registration for these tokenized assets and the legal challenges associated with their distribution according to Cointelegraph.

Why the Move Happened

MetaMask aims to create a unified interface for both traditional and crypto assets. By integrating tokenized U.S. stocks and ETFs, the company seeks to eliminate the need for intermediaries and streamline access to global markets according to The Block.

The move reflects broader trends in real-world asset tokenization. The global RWA market has grown to nearly $24 billion, with projections suggesting it could exceed $11 trillion by 2030 as reported by Cointelegraph. Ondo's collaboration with MetaMask is a key step in expanding the use of blockchain for financial instruments according to The Block.

How Markets Responded

The launch has drawn attention from both investors and regulators. The native token of Ondo Finance, ONDO, has seen significant price swings over the past year, falling about 80% in the last 12 months according to Cointelegraph. Analysts are closely watching how this new offering affects investor demand for tokenized assets and whether it drives further adoption of RWA.

Meanwhile, institutional players are also stepping into the space. Coinbase and Trust Wallet have announced their own RWA platforms and are expanding into prediction markets according to Coindesk. This suggests that the integration of real-world assets into crypto ecosystems is accelerating according to Cointelegraph.

What Analysts Are Watching

Regulatory clarity remains a major concern. The SEC has issued guidance stating that tokenized securities are subject to the same federal laws as traditional securities. This has created uncertainty for third-party tokenization models like Ondo's, which may not provide the same investor protections as issuer-sponsored tokenization as outlined by FXStreet.

Analysts are also monitoring the technical performance of tokenized assets. The GM tokens are currently available only on Ethereum, and MetaMask is expected to roll out desktop support by late February according to Cointelegraph. This expansion could broaden the user base and increase trading activity.

The long-term success of the service will depend on how well it meets the needs of non-U.S. investors. Tokenized assets offer 24/5 trading hours and direct ownership, but their adoption will rely on factors like liquidity, fees, and ease of use according to Coindesk.