Ondo Finance, a leading project in the Real World Asset sector, announced that it is developing its own layer-1 blockchain to Tokenize assets.
Ondo Finance announced a layer-1 for RWA, with World Liberty Financial purchasing additional tokens. Image: Ondo Finance
According to the announcement posted on 06/02/2025 during the Ondo Summit event, the asset Tokenization project Ondo Finance (ONDO) has unveiled its own layer-1 blockchain called Ondo Chain. This platform is expected to accelerate the Tokenization of traditional assets through Blockchain technology, further driving the participation of large financial institutions.
Ondo Finance stated that the new layer-1 will combine the security and compliance characteristics of the closed-loop Blockchains typically used by large corporations with the openness and accessibility of community Blockchains like Ethereum. The project has already received the attention of several industry giants, including Franklin Templeton, Wellington Management, and WisdomTree, who are serving as advisors to Ondo Chain.
Ondo Finance CEO Nathan Allman said:
"The traditional financial industry is in dire need of the next upgrade. Ondo Chain is designed to meet the highest standards of compliance and security, while still being open enough to welcome users and Blockchain developers. The network will combine on-chain and off-chain infrastructure to reduce usage costs, ensure security, and provide the best user experience."
The primary use of Ondo Chain will be to facilitate the Tokenization of traditional assets onto the Blockchain, further driving the Real World Asset (RWA) trend in the Blockchain industry. Additionally, the layer-1 is expected to support cross-chain asset conversion with other Blockchains, as well as allow asset Staking to generate additional yields.
Earlier this week, Ondo Finance also launched Ondo Global Markets, designed to bring traditional assets such as stocks, bonds, and ETF funds onto the Blockchain.
Following the announcement of Ondo Finance's layer-1, the DeFi project advised by former U.S. President Donald Trump's family, World Liberty Financial, has purchased $470,000 worth of ONDO tokens, bringing the total value of ONDO tokens collected so far to nearly $700,000.
Trump's World Liberty(@worldlibertyfi) just spent 470K $USDC to buy 342K $ONDO again.https://t.co/UeDdWJIRag pic.twitter.com/FSqYc9Tw9c
— Lookonchain (@lookonchain) February 6, 2025
World Liberty Financial co-founder Chase Herro announced at the Ondo Summit that his platform will establish a "strategic asset reserve" for the cryptocurrencies it has purchased in recent months, but did not specify the scale or the list of tokens included.
President Donald Trump's DeFi project, World Liberty Financial, plans on creating a "strategic reserve" with tokens bought https://t.co/zH6O3bMuKu
— Bloomberg Crypto (@crypto) February 6, 2025
However, the ONDO token price did not react much to the positive news, only increasing slightly compared to 24 hours ago.
Price movement of the ONDO token in the last 7 days, screenshot from CoinGecko at 08:30 AM on 07/02/2025
Compiled by Coin68
