What Is Ondo Finance? USDY, OUSG, Ondo Stocks and ONDO

Ondo Finance is a tokenization company that turns traditional assets into blockchain tokens: US Treasury products such as USDY and OUSG, and tokenized US stocks and ETFs sold through Ondo Global Markets, now branded Ondo Stocks. It also has a separate governance token, ONDO. As of 17 October 2026, Ondo's tokenized assets were worth about $3.98 billion across 547,400 holders, according to rwa.xyz.

Most Ondo products are not open to everyone. USDY and Ondo Stocks are for eligible investors outside the US, while OUSG is only for US accredited investors who are also qualified purchasers. This guide explains each product, the chains they run on, the ONDO token, who can use what, and the risks.

What is Ondo Finance?

Ondo describes itself as having "an asset management arm that creates and manages tokenized financial products as well as a technology arm that develops decentralized finance protocols" (Ondo docs). Its current product line, per the same page, is:

• USDY: a tokenized note secured by US Treasuries, for non-US investors.
• OUSG: a tokenized short-term US Treasuries fund for qualified US investors.
• Ondo Stocks: tokenized US stocks and ETFs for non-US investors.
• Ondo Intelligent Portfolios and Ondo Private Markets: newer products that bundle tokenized stocks into one token, or give note-based exposure to private companies.

The legal structure matters. USDY and Ondo Stocks are issued by Ondo Global Markets (BVI) Limited, a British Virgin Islands company. Ondo Finance Inc., a Delaware corporation, provides tokenization services to that issuer and holds equity in it (USDY important notes).

For the wider category, see our guide to real-world assets in DeFi.

Ondo USDY: the yield-bearing dollar note

USDY (US Dollar Yield Token) is "a tokenized note" that, depending on its issuance date, "may be secured by either short-term US Treasuries, shares of iShares Short Treasury Bond ETF, or bank demand deposits" (USDY basics). It was originally issued by Ondo USDY LLC. As of 15 December 2025, it has been folded into the Ondo Stocks umbrella.

USDY is not a stablecoin. Its price rises as yield accrues. A rebasing version, rUSDY, holds $1.00 and instead adds tokens to your wallet. Ondo's example: if you held 100 rUSDY and USDY's price rose from $1.00 to $1.01, you would then hold 101 rUSDY. Both versions can be converted back and forth.

Key numbers as of 17 October 2026, per rwa.xyz:

• Total value: about $2.36 billion, up 5.07% in 30 days.
• Price: about $1.15 per token.
• Holders: 18,881.
• 7-day APY: 3.68%, which tracks short-term US rates.

That makes USDY one of the largest tokenized Treasury products, just behind Circle's USYC and ahead of BlackRock's BUIDL on that date, per rwa.xyz.

Ondo USDY on Sui and other chains

rwa.xyz tracks USDY on 13 networks, including Ethereum, Sui, Aptos, Arbitrum, BNB Chain, Mantle, Stellar, Sei and Noble. Ondo's docs say that minting and redeeming USDY on Sui, Aptos, Stellar, XRP Ledger and Noble is done by contacting support, with a $5,000 minimum on those networks (USDY basics). On Ethereum, eligible users can mint with USDC through the web app once onboarded.

OUSG: tokenized Treasuries for qualified investors

OUSG (Ondo Short-Term US Government Treasuries) "provides liquid exposure primarily to short-term US Treasuries, as well as government-sponsored enterprise (GSE) securities" (OUSG overview). It is a fund of funds: its portfolio holds money market funds from BlackRock, Franklin Templeton, WisdomTree, Fidelity and others, plus bank deposits and USDC. rwa.xyz notes that it "primarily holds BlackRock's BUIDL fund" (rwa.xyz).

How OUSG works, per Ondo's docs:

• Instant minting and redemption with USDC or PYUSD, 24/7, within daily limits.
• Minimums: $5,000 for instant transactions; $100,000 to invest and $50,000 to redeem for non-instant requests.
• Pricing: the NAV is updated each business day and pushed to an on-chain price oracle.
• Fees: a 0.15% management fee, which Ondo says is waived until 1 January 2027, with fund expenses capped at 0.15% a year (OUSG fees).
• Tax: the fund is taxed as a US partnership and issues Schedule K-1 forms.

On 17 October 2026, OUSG held about $320 million across 86 holders, with a NAV of about $117 per token (rwa.xyz). For the BlackRock fund underneath it, read our sibling guide to the BlackRock BUIDL fund.

Ondo Global Markets and Ondo Stocks

Ondo Global Markets went live in early September 2025, letting non-US investors "buy and sell tokenized versions of 100+ U.S. stocks and ETFs", starting on Ethereum (Ondo announcement, via Markets Media). Ondo's docs now call the platform Ondo Stocks, while the issuing entity is still named Ondo Global Markets (BVI) Limited.

How it works, per the Ondo Stocks overview:

• Each token carries an "on" suffix. Tesla (TSLA) becomes TSLAon.
• Tokens are "total return trackers": dividends, net of withholding tax, are reinvested, so one token can drift away from one share over time.
• Tokens are fully backed by the underlying securities, held through US-registered broker-dealers, with a security agent holding a first-priority claim for tokenholders.
• You get economic exposure, not shareholder voting or information rights.
• Trading is generally 24/5, with an off-hours session for selected assets. Minting and burning carry no fees; Ondo earns on the spread in its quotes.
• Direct onboarding is currently open to institutional participants only, with retail onboarding "coming soon".

Ondo Stocks run on Ethereum, BNB Chain and other networks, and selected tokens can be bridged to HyperEVM and Robinhood Chain (Ondo Stocks technical). Because the issuer is in the BVI, US dividends are subject to 30% withholding before reinvestment (fees and taxes).

Our guide to tokenized stocks compares Ondo's model with other issuers.

The ONDO token

ONDO is a governance token, separate from the products above. Holding ONDO does not give you a claim on USDY, OUSG or Ondo Stocks assets.

• History: in mid-2022 the Ondo Foundation, a Cayman Islands foundation company, sold ONDO to more than 18,000 people through CoinList (Ondo Foundation). After a DAO vote, transfer restrictions were lifted on 18 January 2024 (ONDO token docs).
• What it governs: the Ondo DAO, which governs Flux Finance, a lending protocol that accepts tokenized securities as collateral.
• Supply and price: a maximum supply of 10 billion, with about 4.87 billion circulating. ONDO traded at about $0.446, a market cap of about $2.17 billion, on 17 October 2026, per CoinGecko.

Ondo Chain, Ondo Network and the SEC probe

Ondo announced Ondo Chain, a layer 1 for real-world assets, in 2025. In July 2026 it launched Ondo Network instead, an off-chain execution network that runs inside secure hardware enclaves and already powers Ondo Perps. CEO Ian De Bode called it the "evolution" of Ondo Chain and said the two will not run in parallel (The Block, 27 July 2026).

Separately, Ondo said in December 2025 that the SEC had closed a confidential investigation into the company "without any charges" (The Defiant, 8 December 2025).

Who can use Ondo products?

Sources: USDY eligibility, Ondo Stocks eligibility and qualified-access eligibility. For OUSG, Ondo says the most common route is a net worth above $5 million for individuals, or over $25 million in assets for entities.

All three require KYC. Buying a token on a secondary market does not remove these rules: the issuer can refuse to redeem for an ineligible holder. Our explainer on KYC in DeFi covers why.

Risks of Ondo Finance products

• Issuer and structure risk. USDY and Ondo Stocks are obligations of a BVI issuer, backed by collateral and protected by a security agent. That is not the same as holding a Treasury bill or a share yourself. Ondo's notes state that USDY holders do not have rights "to hold or receive any US treasuries".
• Layered funds. OUSG holds other funds, including BUIDL, so a problem at any underlying fund or service provider can reach OUSG.
• Access and redemption limits. Instant mints and redemptions have daily caps, some networks need manual support requests, and eligibility checks apply to every redemption.
• Tracking and tax. Ondo Stocks can trade away from the underlying share, and withholding tax reduces reinvested dividends.
• Smart contract and chain risk. Each token depends on its contracts, bridges and oracles. See our guide to price oracles.
• Token risk. ONDO is a volatile governance token and does not share in fund returns.

Where JewelSwap fits

JewelSwap does not issue or integrate Ondo products. It runs on MultiversX, Sui and Radix, offering liquid staking (JWLSUI, JWLEGLD and JWLXRD) and stablecoin farms on Sui through Scallop and Cetus. USDY's presence on Sui shows how Treasury-backed tokens are reaching the same chains as DeFi, but the two carry different risks: a permissioned, KYC-gated note on one side and permissionless smart contract and market risk on the other. Compare them using our guide to tokenized treasuries.

Frequently asked questions

What is Ondo Finance in simple terms?

Ondo Finance is a company that issues blockchain tokens backed by traditional assets: Treasury-backed products such as USDY and OUSG, and tokenized US stocks and ETFs through Ondo Stocks, formerly launched as Ondo Global Markets. ONDO is its separate governance token.

What is Ondo USDY?

USDY is a tokenized note for eligible non-US investors, secured by short-term US Treasuries, Treasury ETF shares or bank deposits. Its price rises as yield accrues; the rebasing version, rUSDY, stays at $1.00 and adds tokens instead.

What is the difference between USDY and OUSG?

USDY is a note for non-US investors with no accreditation requirement in many countries. OUSG is a fund of funds, mainly holding BlackRock's BUIDL, for US accredited investors who are also qualified purchasers.

Is USDY available on Sui?

Yes. rwa.xyz tracks USDY on Sui, and Ondo's docs say eligible users can mint and redeem USDY on Sui by contacting support, with a $5,000 minimum.

What is Ondo Global Markets?

It is Ondo's tokenized stock platform, launched in September 2025 with more than 100 US stocks and ETFs for non-US investors. Ondo's docs now call it Ondo Stocks; the issuer is Ondo Global Markets (BVI) Limited.

Does the ONDO token earn yield from Ondo's funds?

No. ONDO is a governance token for the Ondo DAO, which governs Flux Finance. It does not give holders a claim on USDY, OUSG or Ondo Stocks assets.

Keep reading

• BlackRock BUIDL fund explained
• Tokenized treasuries explained
• Tokenized stocks explained
• Yield-generating stablecoins explained
• Best RWA tokenization platforms in 2026

This article is educational and isn't financial or legal advice. Product values, yields and holder counts are as of 17 October 2026 from rwa.xyz and CoinGecko, and change daily. Product terms come from Ondo's documentation as checked on the same date. Ondo products are only available to eligible investors under their offering documents.