Ondo Finance has introduced a new blockchain, Ondo Chain, aimed at bridging traditional financial systems with decentralized finance (DeFi), marking a significant advancement in institutional financial infrastructure and blockchain technology integration.
Why Ondo Chain? Addressing Key Infrastructure Challenges
Ondo Finance has identified several barriers to scaling tokenized securities on blockchain networks: incompatibility of DeFi with public financial instruments, liquidity fragmentation across blockchains, high and unstable transaction fees, security concerns related to bridges and data feeds, and institutional hesitation due to regulatory risks.
How Ondo Chain Solves These Challenges
Ondo Chain introduces a hybrid approach, combining public blockchains' openness with permissioned chains' security. Only regulated financial institutions and vetted entities can serve as validators, seamlessly integrate tokenized RWAs, and support cross-chain bridging while following a two-tier governance structure.
A Game-Changer for Real-World Asset Tokenization?
Ondo Chain enhances the accessibility of tokenized assets, reduces transaction costs, and strengthens institutional participation with compliance measures. The platform supports instant settlement and global liquidity access, offering a promising future for asset tokenization.
Ondo Chain provides unique solutions for integrating real assets into the blockchain ecosystem, ensuring security and compliance for institutional participants. Experts forecast that the tokenized asset market could grow to trillions of dollars in the coming decade.
