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Ondo Finance successfully transformed into RWA: TVL ranks third, Token prospects await clarity
New Star in the RWA Field Ondo Finance: Successful Transformation but Token Prospects Remain Unclear
RWA( real world assets ) are seen as a key breakthrough for DeFi 2.0, but the threshold is relatively high for ordinary investors. How can one seize opportunities in this emerging track? One way is to purchase related project Tokens, and another is to look for lower-threshold RWA products.
Ondo Finance is a noteworthy RWA project. Established in 2021, the project initially focused on liquidity services but transitioned into the RWA space in early 2023. After a year of development, Ondo Finance currently ranks third in the RWA sector with a TVL of $183 million.
Ondo Finance has launched three main products: OUSG, USDY, and OMMF.
OUSG is a product based on short-term US Treasury bond ETFs, with a TVL of 117 million USD and an annualized return of approximately 4.69%. However, the investment threshold is high, requiring KYC and at least 5 million USD in assets.
USDY is a tokenized note backed by short-term U.S. Treasury bonds and bank deposits, aimed at ordinary investors, with a minimum investment amount of $500 and an annual return of approximately 5.10%. USDY employs multiple measures to ensure the safety of funds, including asset isolation, over-collateralization, and first priority rights.
OMMF is a RWA Token based on the U.S. government money market fund, not officially released yet.
In addition, Ondo Finance has also launched the Flux Finance lending platform to provide additional liquidity for RWA products.
The token ONDO issued by Ondo Finance is currently priced at 0.27 USDT, an increase of nearly 2.5 times since its unlocking. However, the specific use of the ONDO token is still unclear, and the project team has recently taken actions to transfer tokens to exchanges, so investors should exercise caution.
In the future, the ONDO Token may be integrated with RWA products as an incentive to promote product adoption. However, the token distribution plan has not been fully disclosed yet, and its prospects remain uncertain.