On Tuesday, Trump-backed DeFi platform World Liberty Financial and tokenized real-world asset (RWA) provider Ondo Finance said they would work together to connect traditional finance and blockchain.
The agreement looks into adding Short-Term U.S. Government Treasuries (OUSG) and U.S. Dollar Yield (USDY) tokens from Ondo to WLFI’s treasury reserves.
The partnership was seen as a step toward integrating blockchain into financial systems by Donald Trump Jr., who is a Web3 Ambassador at World Liberty Financial.
The news comes after Ondo Finance recently launched Ondo Global Markets, which lets users trade U.S. stocks, bonds, and ETFs on the blockchain, and Ondo Chain, a new Layer 1 blockchain designed for institutional-grade finance.
The total value locked (TVL) for Ondo Finance has grown to $650 million, which is part of a $7.68 billion TVL for the top 15 RWA procedures. World Liberty Financial wants to add USDY, OUSG, and Ondo’s tokenized securities to its WLFI platform.
This will make it easier to borrow, give, and trade on margin. Users in the U.S. may have trouble getting to these goods, though.
World Liberty Financial bought $470,000 worth of Ondo’s native token on the day the company started its blockchain. Nathan Allman, CEO of Ondo, talked about how important it is for institutions to have on-chain options that are stable and offer liquidity.
WLFI co-founder Chase Herro also announced plans for a “strategic reserve,” even though the project’s funds were 90% lower after selling $35 million worth of tokens on February 3.