Author: Ondo Finance
Compiled by Deep潮 TechFlow
DeepFlow Summary: Ondo Finance has become the first company to issue tokenized equities backed by securities custodied through DTCC, marking the first time on-chain stock tokens have the backing of traditional financial clearing infrastructure. Unlike previous synthetic assets, the underlying stocks are physically held at DTCC—the primary clearinghouse for the vast majority of U.S. stock trades—enabling seamless conversion between traditional and on-chain forms. This signifies Wall Street’s formal integration of its own infrastructure with DeFi, rather than building an entirely separate system.
Ondo Finance today launched the first digital twin U.S. equity tokens generated via DTCC’s tokenization services. These tokens are backed by securities held at DTC (Depository Trust Company), which clears and settles the vast majority of U.S. securities transactions. Through DTCC’s tokenization services, these tokenized interests share the same CUSIP and ticker symbol as the underlying securities and are deliverable to DTC participant wallets for use by clients such as Ondo.
Ondo has joined DTCC’s largest-ever tokenization initiative, partnering with over ten traditional finance and DeFi institutions, including BlackRock, JPMorgan Chase, Goldman Sachs, Nasdaq, and the NYSE. This project marks a step toward interoperability between traditional finance and DeFi, rather than the creation of parallel systems.
Ian De Bode, CEO of Ondo Finance, said: "Ondo is the only company building all pathways for U.S. security tokenization. Today’s partnership with DTCC demonstrates that Ondo’s stock infrastructure was designed to interoperate with, not compete against, institutional market infrastructure. As the tokenized securities market continues to evolve, Ondo aims to play a leading role in bringing these assets to on-chain investors."
This project marks a significant milestone for DTCC’s tokenization services and enables Ondo to deepen its role in U.S. capital market infrastructure as tokenized securities become increasingly integrated into traditional market systems.
Operating mechanism
The underlying assets are Circle’s listed stock (CRCL) and the SPDR S&P 500 ETF (SPY), represented on-chain as CRCLon and SPYon—Ondo stock tokens fully backed by their respective securities. Under this model, DTCC’s tokenization service generates DTC-tokenized interests for CRCL and SPY, serving as digital twins of the underlying securities for CRCLon and SPYon. Ondo accesses this network through Alpaca Markets, which connects Ondo to the DTC participant network. Securities held by DTC can be converted between traditional and tokenized forms, enabling greater flexibility, access to new liquidity pools, and enhanced digital asset functionality through the digital twin structure. These additional capabilities directly translate into increased utility for Ondo stock tokens across exchanges, wallets, and DeFi platforms within Ondo’s global partner network. The underlying securities remain securely held within DTC’s custody infrastructure.
Frank La Salla, President and CEO of DTCC, said: "DTCC has demonstrated our ability to apply the same institutional-grade rigor to tokenization as we do to traditional assets, while continuing to uphold the integrity and resilience of global financial markets. DTCC’s tokenization services will institutionalize the tokenized market from day one and serve as a key enabler of the future digital ecosystem, reinforcing trust, security, and scale in the digital world."
About Ondo Finance
Ondo Finance is a blockchain technology company focused on tokenizing real-world assets and bringing institutional-grade financial products on-chain. By connecting traditional finance with decentralized infrastructure, Ondo is committed to making capital markets more accessible, transparent, and efficient.