Asset manager 21Shares has submitted an application to launch an exchange-traded fund (ETF) for Ondo Finance, potentially accelerating the integration of tokenized U.S. Treasuries and other real-world assets (RWA) into conventional financial markets.
Ondo Finance specializes in tokenizing traditional assets like U.S. Treasuries and money market funds using blockchain technology, enabling seamless trading on decentralized platforms. The proposed ETF aims to enhance investor accessibility while addressing regulatory uncertainties in the cryptocurrency and decentralized finance (DeFi) sectors.
Leveraging its established track record in crypto exchange-traded products, 21Shares is positioned to navigate the complex SEC approval process amid the regulatory body’s cautious approach toward crypto-related ETFs. Clear communication regarding tokenized real-world assets’ structure will be critical to address existing regulatory scrutiny.
Should the Ondo ETF gain approval, it could establish a framework for future financial products combining blockchain’s efficiency with traditional asset stability, encouraging broader institutional adoption of tokenized RWA solutions.