Key takeaways
-
Ondo plans an early 2026 rollout of tokenized US shares and ETFs on Solana.
-
The tokens are custody-backed. Underlying securities sit with US-registered broker-dealers, whereas onchain holders obtain financial publicity moderately than shareholder rights.
-
Minting and redemption are designed to maintain tokens anchored to actual belongings on a 24/5 foundation, whereas transfers and buying and selling can function 24/7.
-
Compliance is meant to journey with the asset, utilizing Solana Token Extensions comparable to Switch Hooks to implement eligibility and switch restrictions.
Ondo’s core pitch is that buyers ought to have the ability to maintain conventional monetary publicity, comparable to Treasurys, cash market funds and now US equities, inside the identical pockets they use for stablecoins and transfer these belongings onchain.
Most just lately, the corporate plans to deliver tokenized US shares and exchange-traded funds (ETFs) to Solana. Ondo says it goals to launch these tokens in early 2026, extending a product line it already operates on different blockchains.
The thought is easy: You maintain a “inventory token” in your pockets, then commerce or switch that publicity on Solana, with settlement that may happen a lot sooner than the normal market stack and entry that continues even when US exchanges are closed.
Do you know? Ondo Finance launched its USDY (“US Greenback Yield”) token in August 2023, describing it as a tokenized word backed by US Treasurys and financial institution deposits, paying 5% APY at launch.
What precisely is Ondo placing on Solana?
Ondo’s International Markets product already affords onchain publicity to greater than 100 US shares and ETFs, with “a whole bunch extra” on the roadmap. The crew has flagged Solana as one of many subsequent networks in line.
The Solana rollout focuses on taking that current catalog and making it obtainable on Solana in early 2026, with tokenized inventory and ETF buying and selling that runs 24/7 and settles in seconds.
With roughly $365 million already issued onchain, this represents a scale-up of Ondo’s current tokenization enterprise. Bringing the product to Solana follows an earlier enlargement to BNB Chain.
In line with Ondo’s disclosures, the tokens present financial publicity to publicly traded shares and ETFs, together with dividend results, with the underlying belongings held at US-registered broker-dealers, together with money in transit.
The holder’s declare is to that stream of financial returns, whereas shareholder rights over the underlying securities stay with the custodial construction that owns them. Briefly, monetary efficiency lives onchain whereas formal possession stays offchain. That’s the core construction Ondo plans to deliver to Solana.
How the construction works: Custody, minting and redemption
For inventory tokens to be credible, they should keep anchored to actual securities.
Ondo’s design follows a traditional custody-backed mannequin. The underlying US shares and ETFs are held with a number of US-registered broker-dealers, together with any money that sits between trades or transfers. The tokens seen onchain are supposed to mirror financial publicity to that pool of belongings, moderately than a separate artificial product that would drift away from what is definitely held.
That’s the place minting and redemption are available. Token provide is designed to develop and contract as customers create and redeem tokens in opposition to the underlying belongings, moderately than leaving a hard and fast pool to commerce freely on secondary markets.
Ondo says customers will have the ability to mint and redeem 24 hours a day, 5 days per week, whereas the tokens themselves can transfer straight between crypto wallets and functions 24/7/365. In different phrases, creation and redemption align with conventional market hours, whereas transfers and buying and selling comply with crypto’s always-on rhythm.
Pricing is the opposite key part. If a token is supposed to trace complete financial return, it can’t merely mirror the final exchange-traded share value. Dividends and company actions have to be mirrored within the knowledge as effectively.
Ondo has pointed to Chainlink because the official oracle layer, and Chainlink has mentioned constructing customized feeds for every tokenized fairness that account for each value actions and occasions comparable to dividend funds. This provides protocols, buying and selling venues and danger techniques a single, constant reference for what every token is value at any given second.
Solana’s technical options additionally matter at this stage of element. Tokenized equities require eligibility checks and switch guidelines to be constructed into the asset’s conduct.
Solana’s Token Extensions embrace switch hooks, that are items of code that run every time a token strikes. This enables Ondo to connect situations on to the token, together with who’s allowed to carry it, which areas are excluded, and what occurs when somebody makes an attempt to ship it into a particular good contract. These checks journey with the asset wherever it strikes within the ecosystem.
Why Solana?
If Ondo needs tokenized US shares to really feel pure to on a regular basis crypto customers, Solana is an apparent candidate.
The community already has a big retail viewers, quick affirmation instances and a tradition of buying and selling functions constructed round low charges and near-instant execution. For one thing that appears and appears like an fairness place however lives in a pockets alongside stablecoins and memecoins, these traits are exhausting to disregard. That context units the stage for Ondo’s plan to launch its tokenized shares and ETFs on Solana in early 2026.
There may be additionally a regulatory and danger angle. These tokens are linked to regulated underlying belongings, and as Ondo’s personal disclosures clarify, they don’t flip the holder right into a direct shareholder.
Meaning there have to be jurisdiction filters, investor eligibility checks and clear guidelines governing how and the place the tokens can transfer. The product solely works if these constraints are enforced persistently moderately than being left to particular person functions or exchanges to interpret on their very own.
Solana’s Token Extensions are constructed with the sort of real-world asset in thoughts. The Switch Hook extension permits every token to name customized logic on each motion. For instance, it may verify that each the sender and receiver are permitted to carry the asset or block transfers to sure good contracts altogether.
As a substitute of counting on each entrance finish and each decentralized finance (DeFi) protocol to recollect the foundations, Ondo can embed these guidelines straight into the token itself after which concentrate on increasing protection and enhancing the encompassing person expertise.
Do you know? Within the first half of 2025, Solana averaged round 3 million to six million day by day lively addresses, with peaks above 7 million on some days, whereas typical transaction charges have been roughly $0.00025 per transaction and blocks have been produced about each 400 milliseconds.
How it might work for a person (as soon as it’s reside on Solana)
The expertise is predicted to really feel rather more like a regulated funding product than a typical DeFi token.
Step one is eligibility. Ondo’s International Markets line has been positioned for qualifying non-US buyers, utilizing jurisdiction filters and an eligibility display screen. Earlier than you ever hit “purchase,” you would wish to verify that you’re in a permitted area and meet the related necessities.
Onboarding will probably really feel nearer to opening a brokerage account than merely connecting a pockets to a decentralized trade (DEX). As a result of the tokens are described as absolutely backed by underlying shares and ETFs held at US-registered broker-dealers, together with money in transit, entry should meet strict regulatory requirements.
That features Know Your Buyer (KYC) checks, custody obligations and different compliance necessities.
As soon as you might be authorized, the person stream then shifts right into a extra crypto-native mannequin:
-
You fund a Solana pockets with a cost asset supported by Ondo for this product, usually stablecoins.
-
You choose a ticker and purchase or mint the tokenized model. Minting and redemption are described as working 24 hours a day, 5 days per week, whereas transfers between wallets and functions can proceed 24/7/365.
-
You maintain the place like some other token in your pockets, with one essential caveat: It gives financial publicity, together with dividend results, however it isn’t the inventory or ETF itself and doesn’t carry shareholder rights.
Upsides and limitations
The potential attraction is evident. If Ondo succeeds in making inventory and ETF publicity behave extra like customary tokens on Solana, customers might expertise sooner settlement and extra versatile motion of positions in contrast with conventional brokerage workflows.
Even with US markets shifting to T+1 settlement, a day and some seconds sit in very totally different buckets, particularly for customers who wish to transfer worth between venues or use positions inside onchain functions with out ready for trades to clear.
On the similar time, some limits stay constructed into the design. Ondo’s disclosures are clear that holders obtain financial publicity solely. The underlying shares and related shareholder rights stay with the regulated custody and brokerage construction that truly owns the securities. Entry can also be filtered by jurisdiction and investor eligibility because the backing belongings sit inside that regulated atmosphere.
Market mechanics add one other layer of dependency. For the token to trace the actual instrument carefully, liquidity have to be current, costs should keep aligned, and company actions comparable to dividends have to stream by way of cleanly.
That’s the reason Ondo emphasizes each broker-dealer custody and a devoted oracle system as core elements moderately than elective extras. If both the custody hyperlink or the oracle layer fails, the promise of stock-like conduct onchain begins to interrupt down, no matter how easy the Solana person expertise might seem on the floor.
Do you know? T+1 settlement means a commerce settles, with money and securities formally exchanging fingers, one enterprise day after the commerce date. Should you purchase a inventory on Monday, it usually settles on Tuesday, assuming there isn’t a market vacation. Within the US, this turned the usual for many securities on Could 28, 2024, changing the outdated T+2 cycle.
What to look at earlier than this goes reside on Solana
Between now and the early 2026 goal, the important thing indicators would be the launch particulars that decide who can use the product, how carefully the tokens monitor the actual devices and what protections apply if one thing goes improper.
Right here is the brief guidelines value watching:
-
Launch lineup: Which shares and ETFs are supported on day one and whether or not Ondo sticks with the identical custody-backed mannequin it makes use of elsewhere.
-
Entry guidelines: How non-US eligibility, jurisdiction limits and KYC checks work and what occurs if a person’s standing modifications.
-
Custody and backing: The place the underlying shares and ETFs are held and the way minting and redemption function in observe.
-
Pricing and occasions: How Chainlink feeds deal with each costs and company actions comparable to dividends and splits.
-
Onchain controls: Whether or not Solana Token Extensions, comparable to Switch Hooks, are used and the way strict the switch guidelines are.
Lastly, anticipate scrutiny. Regulators and market construction teams have warned that tokenized inventory merchandise can confuse buyers as a result of they usually don’t present shareholder rights, and the token framing doesn’t make them any much less of a securities concern.
That scrutiny is prone to form how aggressively Ondo restricts entry and the way specific it’s about what holders do and don’t personal.
