Ondo deepens tokenized market reach via wallet tie-ups and compliant rails

Ondo extended access to more than one hundred tokenized U.S. equities and ETFs for non-U.S. residents inside Blockchain.com’s self-custody wallet on October 20. The placement brings Ondo Global Markets in front of a broader retail audience without making any claims about direction or price potential. The rollout emphasizes compliant distribution, user-controlled custody, and friction-light access through a familiar wallet interface. Execution is routed through Ondo’s infrastructure while keeping assets inside the same view as crypto holdings, effectively testing real demand for tokenized traditional assets inside consumer-grade wallets.

The move fits the firm’s strategy to connect regulated securities plumbing with mainstream crypto applications. Ondo has framed Global Markets as a controlled gateway between DeFi users and U.S. market exposures, using tokenization to regulate access and settlement rather than to amplify trading behavior.

Policy engagement and market structure pressure

The same week, Ondo asked the U.S. Securities and Exchange Commission to postpone Nasdaq’s request to enable trading of tokenized securities. The firm argued that the proposal depends on opaque post-trade processing at the Depository Trust Company, which limits public oversight. In a letter dated October 15, the company suggested that both the regulator and market participants require visibility into DTC settlement mechanics when tokenized instruments enter the stack. Ondo framed the request as a market-structure safeguard rather than a valuation dispute and positioned itself as a stakeholder pressing for disclosure standards that reduce operational blind spots. The posture aligns with its broader goal to build compliant rails, where predictable post-trade flows are deemed necessary for institutional uptake.

USDY collateral usage extends into stablecoin minting

On October 10, stablecoin platform STBL adopted Ondo’s USDY as its primary collateral, enabling up to fifty million U.S. dollar-equivalent mint capacity for the USST stablecoin. The change reflects collateral quality and functional utility rather than speculative direction. USDY is designed to be backed by short-term U.S. Treasuries and bank demand deposits, linking tokenized T-bill exposure with stablecoin issuance. The integration expands the venues where USDY operates as a yield-bearing reserve and reinforces treasury and payments use-cases across DeFi. The collateral move arrived in parallel with Ondo’s push to distribute USDY across more ecosystems, with the firm repeatedly highlighting compliant collateralization rather than price narratives.

Licensing, scale, and on-chain market plumbing

As of October 22 (EDT), underlying assets for OUSG were shown near seven hundred eighty-seven and a half million U.S. dollars on Ondo’s product page, signaling persistent institutional-style appetite for tokenized cash-equivalent exposure. Earlier, on October 6, Ondo completed its acquisition of Oasis Pro, adding a U.S. broker-dealer, alternative trading system, and transfer-agent footprint under one umbrella. The bundle provides a regulated stack for issuance, secondary trading, settlement, and record-keeping of tokenized securities. Taken together, reported OUSG scale and new licenses illustrate Ondo’s intent to run end-to-end market plumbing while pairing distribution deals with policy advocacy to advance on-chain capital markets.

TVL trajectory driven by function, not euphoria

Ondo’s total value locked is nearing 1.78 billion U.S. dollars on DeFiLlama data. The curve shows disciplined build during 2024 with steeper legs in 2025 and only minor drawdowns before higher plateaus. Inflows appear to be operationally driven. Additional USDY venues and use-cases attracted treasury flows seeking short-duration yield on-chain, while OUSG’s size and accessibility helped institutions park larger balances. As integrations diffuse, users can hold tokenized cash equivalents alongside other assets, reducing workflow friction and producing stickier balances.

Momentum is also tied to improved market plumbing. With a licensed securities stack and wallet-grade distribution, onboarding becomes simpler for non-crypto natives, enabling inflow waves as new channels activate. Provided access pipelines remain open and redemptions continue to behave in an orderly fashion, elevated TVL levels are likely to persist even through routine market volatility.