Key Notes
- Ondo Finance’s OUSG has gone live on XRP Ledger in a bullish tokenization move.
- This move expands institutional investors’ access to a credible, institutional-grade RWAs onchain.
- Before now, Ondo Finance has had a functional partnership with WLFI on tokenization.
Ondo Finance’s Ondo Short-Term US Government Treasuries (OUSG) recently went live on the XRP Ledger (XRPL). This marks a significant milestone for the company, especially towards tokenization. It also expands its institutional investors’ access to a credible, institutional-grade Real World Assets (RWA) onchain.
Bringing OUSD to XRPL
On Wednesday, June 11, blockchain payment firm Ripple Labs announced the new development, noting that it provides institutional access to minting and redemptions via its enterprise-grade stablecoin, RLUSD. It is worth noting that Ondo Finance has been in the tokenization niche for quite a while.
Tokenized U.S. Treasuries are now live on XRPL: https://t.co/78aGRHlSYC@OndoFinance’s $OUSG, backed by BlackRock’s $BUIDL fund, unlocks 24/7 institutional access—mintable and redeemable using $RLUSD.
This is a new era for onchain finance.
— RippleX (@RippleXDev) June 11, 2025
OUSG was the first tokenized security to achieve material adoption. It boasts more than $670 million in Total Value Locked (TVL), which has made it one of the largest tokenized treasury products in the market. Per market data, it ranks as one of the top RWA offerings alongside those from BlackRock and Franklin Templeton.
By design, OUSG offers lower fees, instant transactions, and daily interest payouts. Most of its assets are held in the BlackRock USD Institutional Digital Liquidity Fund (BUIDL). It also has other investments from Franklin Templeton, WisdomTree, Wellington Management, and Fundbridge Capital. It prides itself on being the first on-chain peer-to-peer transferable fund.
In February, Ondo Finance announced its plan to become the first provider to bring tokenized RWAs to Mastercard’s Multi-Token Network (MTN). This would allow businesses on MTN to access digital versions of US government bonds without the need for stablecoin onramps or additional settlement steps.
The latest milestone is an expansion into XRPL, which gives qualified buyers the avenue to seamlessly subscribe and redeem OUSG on the blockchain network with no time restriction. RLUSD will be used as a stable settlement asset for such transactions. XRPL prides itself as an ideal platform that facilitates the movement of traditional assets like treasuries onchain.
It is built to support tokenization natively, in addition to its built-in Decentralized Exchange (DEX) and enterprise-ready features like Decentralized Identifiers (DIDs). XRPL is largely touted as the network providing the compliance-first infrastructure many institutions require.
Ondo Finance in the Tokenization Sector
Ondo Finance boasts of other achievements in the tokenization sector. A few months ago, the Decentralized Finance (DeFi) platform boldly redefined how institutional-grade financial markets function by introducing Ondo Chain. The new Layer-1 blockchain was the protocol’s strategy for bridging the gap between Traditional Finance (TradFi) and blockchain technology.
Ondo integrated the ability to maintain the transparency and openness of public chains like Ethereum into this chain.
Notably, Ondo Finance is also in a close business relationship with World Liberty Financial (WLFI), a DeFi protocol backed by President Donald Trump and his family. Their goal is to boost the adoption of RWA in global financial markets. Their alliance with the Trump family-backed protocol aligns with the latter’s plan to create a strategic token reserve.
With their partnership, WLFI intends to work with Ondo to bring tokenized assets on Ondo Finance into its network as treasury reserve assets, including the OUSG and US Dollar Yield (USDY) tokens.
Disclaimer: Coinspeaker is committed to providing unbiased and transparent reporting. This article aims to deliver accurate and timely information but should not be taken as financial or investment advice. Since market conditions can change rapidly, we encourage you to verify information on your own and consult with a professional before making any decisions based on this content.
Benjamin Godfrey is a blockchain enthusiast and journalist who relishes writing about the real life applications of blockchain technology and innovations to drive general acceptance and worldwide integration of the emerging technology. His desire to educate people about cryptocurrencies inspires his contributions to renowned blockchain media and sites.
