Ondo Finance Partners with LayerZero for Seamless Multi-Chain Transfers of Tokenized US Treasuries
Ondo Finance, a leading platform specializing in tokenized real-world assets (RWAs), has recently announced its collaboration with LayerZero, an interoperability protocol designed to facilitate secure and seamless multi-chain transfers. This partnership marks a significant step forward for Ondo Finance in expanding the reach of its flagship yield-bearing product, USDY, a tokenized US Treasuries asset, across various blockchains including Ethereum, Arbitrum, and Mantle.
USDY, a token backed by US Treasuries, has rapidly gained traction in the crypto space, boasting a market capitalization of over $452 million, making it one of the largest tokenized US Treasuries products available. With over $600 million in total value locked (TVL), Ondo’s suite of RWA products now stands as the largest in the crypto industry, offering investors the opportunity to earn yield backed by US Treasuries.
Through the integration of LayerZero’s Omnichain Fungible Token Standard (OFT), Ondo Finance can now facilitate frictionless cross-chain transactions for USDY holders without the need to mint new tokens on different networks. This integration ensures that each RWA transfer is secured with institutional-grade security, supported by a diverse set of decentralized verifier networks (DVNs) such as Axelar Network, Polyhedra Network, and LayerZero Labs.
Additionally, the collaboration allows USDY holders to seamlessly move their tokens between chains using Ondo’s native bridge, powered by LayerZero and Stargate Finance. As Ondo plans to expand this integration beyond Ethereum, Arbitrum, and Mantle, the aim is to further enhance access to tokenized US Treasuries and improve the efficiency of decentralized finance (DeFi) operations.
By setting a new standard for secure cross-chain interoperability, the partnership between Ondo Finance and LayerZero paves the way for continued growth in the tokenized real-world asset markets. As Ondo continues to innovate in the RWA space, this collaboration signifies a commitment to providing investors with secure and efficient solutions for transferring tokenized assets across interconnected blockchains.
Overall, the integration of LayerZero technology into Ondo Finance’s ecosystem represents a significant advancement in the field of tokenized assets, offering a seamless and secure experience for investors looking to engage with tokenized US Treasuries across multiple blockchain networks.