Highlights
Ondo Finance has introduced a new Layer 1 blockchain, Ondo Chain, designed to enhance institutional adoption of tokenized real-world assets (RWAs). The launch aims to bridge traditional financial markets with decentralized finance (DeFi) by offering compliance-focused infrastructure.
With this development, ONDO’s price movement has gained attention as investors speculate on potential gains.
Ondo Finance announced Ondo Chain on February 6, 2025, as a blockchain solution for institutions looking to integrate tokenized assets into DeFi. The network will support Ondo Global Markets, which provides onchain access to US stocks, bonds, and exchange-traded funds (ETFs).
The blockchain is built to address major challenges in tokenized securities, such as high transaction fees, liquidity fragmentation, and regulatory compliance.
To achieve this, Ondo Chain combines features of both public and permissioned blockchains. It allows institutions to benefit from public blockchain accessibility while maintaining compliance with financial regulations through permissioned validators.
Several major financial institutions are partnering with Ondo Finance to shape the design of Ondo Chain. Companies such as Franklin Templeton, Wellington Management, and WisdomTree are involved in advising on the project.
Nathan Allman, CEO of Ondo Finance, commented on the launch:
“Financial markets are overdue for an upgrade. Ondo Chain is designed to meet the highest institutional standards while remaining open for developers and innovators.”
Ondo Chain will introduce staking mechanisms for tokenized RWAs, allowing investors to earn yields while securing the network. The blockchain will also support native omnichain bridging, enabling seamless transfers of tokenized assets across multiple networks.
On the same day as the blockchain announcement, World Liberty Financial, a decentralized finance platform backed by Donald Trump and his family, invested $470,000 in ONDO tokens. Blockchain data shows that the firm swapped USDC for 342,000 ONDO tokens through CoW Protocol.
The wallet linked to World Liberty Financial had previously purchased $245,000 worth of ONDO two months earlier.
These tokens were later sent to Coinbase Prime. Alongside ONDO, the firm has also been acquiring TRX and Wrapped Bitcoin (WBTC), signaling further interest in blockchain-based financial markets.
ONDO’s price has experienced fluctuations following the announcement. The token is trading at $1.298, down 3.7% in the past 24 hours as the broader crypto market trends downward. The CoinDesk 20 Index also dropped 3.1%, affecting multiple assets in the sector.
Technical analysts are monitoring ONDO’s price levels. A break above $1.50 could lead to further gains, with potential targets at $1.64, $1.94, and $2.10. Investors are watching for increased adoption of Ondo Chain, which could drive further price movements in the coming weeks.
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