Golden Finance reports that Ondo Finance, a leading tokenized real-world asset (RWA) issuer, has successfully introduced its tokenized US Treasury bonds to the XRP Ledger (XRPL), further enriching the variety of institutional-level products on the chain. Through this cooperation, institutional investors will be able to access Ondo’s short-term US government bonds (OUSG). OUSG is supported by BlackRock’s dollar-denominated institutional Digital Liquidity Fund (BUIDL), and with the help of the enterprise-level dollar-denominated stablecoin – Ripple Dollar (RLUSD), investors can mint and redeem it in real time around the clock.
Ripple and Ondo have committed to providing liquidity support for OUSG during the initial deployment, which will further promote the application of tokenized RWA on XRPL. This is also an expansion of Ripple’s investment in tokenized US Treasury bonds. Previously, it has already invested in Openeden’s US Treasury bonds.
Tokenized US Treasuries like OUSG have achieved exponential growth driven by institutional demands for liquidity, efficiency and transparency in the capital market. The tokenized financial asset market is expected to witness explosive growth. Predictions indicate that the market size will reach 16 trillion US dollars by 2030. XRPL has unique advantages in helping institutions put traditional financial assets on the blockchain. It features enhanced security, verifiable trust mechanisms, and new revenue-generating opportunities.
Ondo Finance introduced OUSG to XRPL, providing on-chain solutions for market demands and having many significant advantages. In terms of institutional-level security, OUSG is backed by short-term US Treasury bonds and strictly adheres to Know Your Customer (KYC) and anti-money laundering (AML) compliance requirements. In addition, XRPL features native compliance functions such as decentralized Identifiers (DIDs) and on-chain credential management, which help ensure regulatory compliance.
In terms of liquidity, OUSG and RLUSD offer institutional investors high-quality and low-risk liquidity solutions, making portfolio management more efficient and enabling investors to have easier access to tokenized US Treasury bonds. From a technical perspective, the high throughput, low cost and reliability of XRPL ensure the seamless tokenization and trading of RWA.
Markus Infanger, senior vice president of Ripple X, said: “Tokenized assets like OUSG achieving 24/7 intraday settlement marks a transformative shift in capital flow management, breaking the constraints of traditional trading time limits and slow settlements.” These low-risk and high-quality liquidity options not only offer investors better ways to participate but also bring greater stability to the blockchain-based market. By jointly addressing key obstacles with Ondo Finance, this innovation supports the wider application of decentralized finance (DeFi) and positions XRPL as the cornerstone of institutional-level financial solutions.
Katie Wheeler, vice president of partnerships at Ondo Finance, said: “Ondo Finance is proud to bring our institutional-level tokenized U.S. Treasury fund OUSG to XRP Ledger, a blockchain that institutions are familiar with and trust.” This integration is a natural blend of compliance-first, revenue-generating products and a network specifically designed for institutional adoption, laying the foundation for forward-thinking institutions to lead the new era on the capital market chain.
Ondo Finance is the first tokenized US Treasury bond platform with a total value locked (TVL) of over 600 million US dollars. OUSG, as the first tokenized US Treasury bond fund, is of milestone significance. It offers eligible investors instant round-the-clock subscription and redemption, daily interest accumulation, low fees, and multi-chain availability.
XRP Ledger (XRPL) is specifically designed to meet the needs of traditional financial institutions and features native functions such as tokenization, trading, custody, compliance, and seamless asset transfer, all of which form the basis of RWA tokenization and institutional DeFi. For over a decade, Ripple has been leveraging XRPL to support cross-border payments, digital asset custody, and stablecoin issuance. With its comprehensive features, including the first native decentralized exchange (DEX), automated market maker (AMM), decentralized Identifier (DIDs), price oracle, as well as the upcoming multi-functional token (MPTs), licensing domain and lending protocol, XRPL is constantly expanding its capabilities. Consolidate its position as a trusted institutional-level DeFi blockchain.
It should be noted that OUSG has not been registered under the Securities Act of 1933 of the United States or the securities laws of any other jurisdiction. It may not be offered, sold or otherwise transferred in the United States or to U.S. persons unless it meets the registration exemption or exclusion requirements of that Act. The issuer of OUSG, Ondo ILP, was also not registered as an investment company in accordance with the revised Investment Companies Act of 1940 of the United States. The content of this article does not constitute any offer to sell or invitation to purchase to OUSG. There are risks involved in purchasing OUSG, and the holder may suffer losses, including total investment losses. Past performance does not guarantee future performance.
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