Ondo Unveils Blockchain Initiative for Wall Street Asset Tokenization

Aiming to bridge traditional finance and blockchain technology, RWA tokenization platform Ondo Finance announced the launch of an institution-focused layer-1 blockchain during its inaugural summit in New York on February 6.

The initiative, called Ondo Chain, is designed to facilitate Wall Street firms’ entry into the world of tokenized assets.

Ondo Secures Wall Street Backing

The development of Ondo Chain will be advised by a powerhouse consortium of financial giants, including BlackRock, PayPal, and Morgan Stanley, alongside new contributors such as Franklin Templeton, Google Cloud, and ABN Amro. According to the announcement, this strategic collaboration aims to create a blockchain environment conducive to prime brokerage services, wealth management, and staking tokenized real-world assets (RWAs).

Chase Herro, co-founder of the Trump family’s World Liberty Financial, stated Ondo’s pivotal role in establishing a “strategic reserve” backed by tokens. This reserve reportedly includes the ONDO token, as well as other digital assets held by World Liberty Financial.

Arkham Intelligence revealed that World Liberty Financial purchased $470,000 worth of ONDO tokens on February 6. This follows a previous acquisition of $270,000 worth of tokens by World Liberty in December 2024 during a wave of crypto buys totaling $45 million.

Permissioned Network Model for Institutional Security

Ondo Chain aims to strike a balance between innovation and security by employing a permissioned validator model. This approach seeks to eliminate issues such as front-running and maximize investor protection — a crucial feature for financial institutions seeking “best execution guarantees.”

Ondo Finance clarified that while validation would remain permissioned, the platform welcomes token issuance, decentralized application development, and broader user participation.

Chase Herro’s announcement of a strategic reserve aligns with the Trump family’s increasing involvement in crypto initiatives. World Liberty Financial’s token holdings, reportedly worth over $35.4 million, underscore the group’s confidence in blockchain technology.

With no official launch date yet for Ondo Chain, industry observers are keen to see how this blockchain-focused initiative will create opportunities for Wall Street firms to integrate blockchain technology securely.