Ondo Finance, a platform specializing in investment products and blockchain services for institutions, announces a major evolution of its product OUSG, aiming to meet the increasing demand for faster and more flexible financial transactions.
OUSG offers liquid exposure to short-term US Treasury bonds with subscriptions and redemptions in stablecoin now available 24/7.
Instant Transactions: A New Era for OUSG
Traditionally, OUSG redemptions took a few business days due to the T+2 securities settlement lag, which limited the speed of conversion into dollars after selling the underlying securities.
Ondo addresses this challenge by introducing instant subscriptions and redemptions available 24/7/365 for OUSG.
To simplify its offering, Ondo now offers two core products: OUSG, aimed at cash management and settlement for global institutions and high net worth individuals, and USDY, a yield-generating alternative to conventional stablecoins for non-US investors.
Furthermore, a notable innovation is the introduction of rOUSG, offering a constant price of $1 per share with daily distributed yield in the form of additional rOUSG tokens, facilitating instant conversion between OUSG and rOUSG.
Ondo’s Collaboration with BlackRock
Ondo takes a further step in the evolution of its cash management products by reallocating a significant portion of OUSG assets into BlackRock’s Institutional Digital Liquid USD Fund (BUIDL).
Indeed, BlackRock recently announced the creation of its digital asset fund, BUIDL. This fund, created in partnership with tokenization company Securitize, was initialized with $100 million in USDC stablecoin on the Ethereum network.
Until now, Ondo’s token OUSG was backed by BlackRock’s iShares Short Treasury Bond ETF, which only traded during traditional market hours, unlike the 24/7 nature of the cryptocurrency.
The allocation allows Ondo to significantly accelerate subscription and redemption timelines for instantaneous settlement on any day.
