Ondo Finance has launched its OUSG token, representing short-term U.S. Treasuries, on the XRP Ledger in collaboration with Ripple, enabling seamless mint and redemption using Ripple’s RLUSD stablecoin.
This integration broadens institutional investor access to tokenized Treasuries, creating new liquidity and market opportunities while increasing Ondo’s total value locked on the XRP Ledger to $30 million.
Ondo Finance Expands U.S. Treasury Access Via XRP Ledger
Ondo Finance expands its successful tokenization of U.S. Treasuries with the OUSG token’s launch on the XRP Ledger. This move follows previous OUSG deployments on Ethereum and Solana, demonstrating a commitment to multi-chain strategies.
The collaboration is part of a broader initiative between Ondo Finance and Ripple to offer institutional investors direct access to real-world assets on public blockchains. The integration utilizes Ripple’s RLUSD for settlement and liquidity enhancement.
Positive Market Reactions to OUSG Token Launch
The OUSG token launch has generated positive market reactions, with Ondo’s governance token seeing a 4% price increase. This development strengthens the XRP Ledger’s position in the real-world asset tokenization space.
The initiative could lead to increased liquidity and interest from institutional investors venturing into decentralized finance. The $30 million OUSG TVL on XRPL at launch reflects significant initial engagement and sets a precedent for further collaborations.
Institutional DeFi Milestone: Bridging Traditional Finance
The venture echoes previous efforts to bring real-world assets onto blockchains, akin to BlackRock’s partnership with Circle. Such initiatives have consistently aimed to bridge traditional finance with emerging technologies.
Experts suggest this launch could spearhead more blockchain-based financial instruments as institutional interest grows, marking a strategic pivot for XRPL into institutional DeFi. The development mirrors historical shifts in finance towards digital solutions.
Ian De Bode, Chief Strategy Officer, Ondo Finance, “The deployment of OUSG on XRPL means OUSG is now poised to expand further composable financial access to an even larger institutional audience.”
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