In a groundbreaking development on the Injective blockchain, users can now obtain tokenized US Treasuries through the USD Yield token (“USDY”) from Ondo Finance, a pioneer in linking traditional financial assets to blockchain networks. With over $200 million of its tokenized US Treasuries in circulation, Ondo Finance has become a market leader in this transformative sector.
Ondo’s Impact on Real-World Assets
USDY stands out as the world’s first tokenized note backed by US Treasuries, offering accessibility and utility comparable to stablecoins. The proliferation of tokenized US Treasuries has fueled the expansion of the real-world assets sector. This sector facilitates the availability of traditional financial assets on blockchains, allowing investors to harness the advantages of technology, such as 24/7 global transferability and compatibility with decentralized financial applications. Notably, the market capitalization of real-world assets has surged from $100 million to an impressive $704 million since the onset of 2023, with Ondo at the forefront of this growth.
Injective’s Perspective on Ondo’s Integration
Injective Labs’ Co-founder and CEO, Eric Chen, shared his perspective on Ondo’s integration, emphasizing its impact on redefining the real-world asset market. Chen stated, “Ondo is rapidly redefining the real-world asset market, and for the first time in history users will be able to access tokenized treasuries directly across Injective native dApps. This integration signifies a key milestone in making traditional financial instruments accessible within the DeFi ecosystem. Injective is continuing to pave the way towards truly connecting traditional finance with the blockchain world.”
User Access to USDY on Injective
Users can access USDY through two primary avenues: bridging USDY from Ethereum to Injective using the Injective Hub or utilizing native dApps on Injective, such as Helix, the network’s premier decentralized exchange. Injective’s direct integration with major institutions on its chain ensures high levels of liquidity and capital efficiency for real-world assets.
Cosmos Ecosystem Integration
The introduction of USDY to Injective marks a historic moment for users in the Cosmos ecosystem, providing them with access to tokenized treasuries for the first time. This integration solidifies Injective’s position as a leading Layer 1 solution, excelling in both interoperability and real-world assets. Notably, USDY has been exclusively available on Ethereum and Mantle, an EVM rollup, until now, making this release its inaugural expansion beyond the EVM environment.
Ondo Finance’s Perspective
Nathan Allman, CEO of Ondo Finance, expressed delight in offering a yield-bearing product that combines mature financial structuring and robust investor protections. Allman stated, “USDY is a significant stride towards a more inclusive and secure financial landscape, catering to the diverse needs of both individual and institutional investors.”
In summary, the integration of Ondo Finance’s tokenized US Treasuries on the Injective blockchain with the USDY token not only signifies a pivotal moment in DeFi but also expands the accessibility of tokenized treasuries to users within the Cosmos ecosystem. This move reinforces Injective’s standing as a leading blockchain platform bridging traditional finance with the innovative world of blockchain technology.