Ondo Monthly Spotlight: March 2024

Welcome to the Monthly Spotlight from Ondo Finance, where we delve into the latest developments from the forefront of real-world asset (RWA) tokenization.

This month, we announced that OUSG will soon offer instant subscriptions and redemptions, 24/7/365. As part of this evolution, we also reallocated a substantial portion of OUSG’s assets into the recently announced BlackRock USD Institutional Digital Liquidity Fund (BUIDL).

March Spotlights ⬇️

⏰ OUSG to Offer Instant, 24/7/365 Subscriptions & Redemptions
📣 Ondo USDY LLC Registers with FinCEN
🌊 Ondo Hires Former McKinsey Head of Digital Assets
📈 USDY Surpasses $100M in TVL
🌐 Ondo Ecosystem Expansion
🌍 Ondo President at Paris Blockchain Week & Token 2049
📰 Quotes of the Month

⏰ Introducing Instant, 24/7/365 Subscriptions and Redemptions; Shifting OUSG Funds into BlackRock’s BUIDL

Until now, redemptions of OUSG have generally taken a few business days, as traditional T+2 securities settlement times have constrained how quickly we were able to receive USD after selling the underlying securities. While the upcoming move to T+1 settlement for many types of securities is a step in the right direction, one of the major advantages of the blockchain – and one of the most requested features from our existing and prospective clients – is the promise of faster settlement.

For this reason, we are delighted to announce that OUSG will soon offer instant investment and redemption 24/7/365. In addition, we are offering a new form of OUSG – rOUSG – with a constant $1.00 per share mint/redeem price, with yield distributed daily in the form of additional rOUSG tokens via token rebasement. Finally, investors will also be able to easily and instantly convert between OUSG and rOUSG using the conversion tool on our website (and onchain). Continue reading.

📣 Ondo USDY LLC Registers with FinCEN

We are happy to announce that Ondo USDY LLC (“USDY”) has successfully registered as a Convertible Virtual Currency Administrator and Money Services Business with the Financial Crimes Enforcement Network (“FinCEN”) in the United States. USDY issues yield-bearing tokens collateralized with US Treasuries for customers to use as an alternative to stablecoins.

We are proud to operate a compliant CVC Administrator and Money Services Business under FinCEN’s jurisdiction. We have made regulatory compliance a leading priority in the design and development of our products. Continue reading.

🌊 Ondo Hires Former McKinsey Head of Digital Assets as Chief Strategy Officer

Greenwich, Connecticut – Ondo Finance, a pioneer in the tokenization of real world assets, today announced the addition of Ian De Bode as its Chief Strategy Officer. Mr. De Bode was previously a Partner at McKinsey & Company, leading its efforts in Digital Assets.

"I am honored to join Ondo Finance at this pivotal juncture," expressed Mr. De Bode. "As we witness the dawn of tokenization reshaping the financial landscape to be more inclusive, transparent, and efficient, I am excited to contribute my expertise. Institutional interest is at a turning point, and I am excited to strengthen new and existing institutional relationships and further advance Ondo's visionary product suite." Continue reading.

📈 USDY Surpasses $100M in TVL

USDY, a tokenized note secured by short-term US Treasuries, surpassed $100M in TVL for the first time, currently sitting at $127M.

🌐 Ondo Ecosystem Expansion

The Ondo Ecosystem Directory – A list of the institutions, protocols, and networks aligned with our mission of delivering institutional-grade financial products onchain, continues to expand. Notably, two custodians – Arculus and Cobo extended their custody support to encompass Ondo’s tokenized cash equivalents. We also proudly welcomed Metamask Institutional to the Ondo Ecosystem, among other notable players.

Cobo, a globally trusted leader in digital asset custody solutions, has expanded its support for Ondo's USDY. Renowned as the world's first omni-custody platform, Cobo is trusted by over 500 businesses worldwide to safeguard billions in digital assets and scale their operations. This partnership further addresses the growing market demand for high-quality tokenized cash equivalents, and through the combination of our expertise, we can meet this demand with top-tier custody solutions. Continue reading.

Ancient Romans called on Arculus, the god of safes and strongboxes, to ensure the protection of their cherished possessions. Today, Arculus delivers best-in-class authentication, and digital asset protection for ecosystem participants. We are pleased to announce that Arculus, with its cutting-edge capabilities, is extending its custodial services to USDY and OUSG, including within its iOS and Android mobile app. Continue reading.

🌍 Ondo President at Paris Blockchain Week & Token 2049

Are you heading to Paris or Dubai in April? Are you interested in our products, eager to collaborate, or want to work with us? Reach out if you’d like to connect!

Don't miss Ondo Finance President, Justin Schmidt, talking "Tokenization and RWAs" with Guillaume Chatain and Paul-Adrien Hyppolite at Paris Blockchain Week, on Tuesday April 9th.

Or join us at Token2049 Dubai for "Revolutionizing Markets through Asset Tokenization", where Justin will share the stage with Sergey Nazarov of Chainlink, Ben Forman of ParaFi Capital, and Max Boonen of PV01, on Friday, April 19th.

📰 Quotes of the Month

Ondo garnered significant media attention throughout March. Some of our favorite quotes include:

"It’s likely that Ondo will become the household name for tokenized assets." – Blockworks

"Few projects are marrying the innovation of DeFi with the ubiquity & trust of traditional financial assets via RWA like Ondo." – Metamask Institutional

"Considering Ondo's announcement of its Global Markets, which will tokenize securities, we could see this bringing even further volume to the chains it supports." – Bankless

"Ondo is dedicated to democratizing access to institutional-grade financial products" with "a strong emphasis on investor protections, transparency in reporting, adherence to legal and regulatory compliance, intelligent product structuring, and superior client service." – Reflexivity Research

"We are impressed with Ondo's leading position in the tokenization space, coupled with significant market demand for USDY." – Cobo

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