Tokenized RWAs Take Center Stage: Ondo Finance & 1inch Tap Into the Future

Ondo Finance and 1inch are making waves in the tokenized real-world assets (RWAs) space, democratizing access to finance. Discover the latest trends and insights.

The convergence of traditional finance and decentralized finance (DeFi) is accelerating, and tokenized real-world assets (RWAs) are leading the charge. Recent developments involving Ondo Finance and 1inch highlight this trend, making access to tokenized assets more accessible than ever before.

1inch Integrates Tokenized RWAs via Ondo Finance

DEX aggregator 1inch has partnered with Ondo Finance to enable access to tokenized real-world assets (RWAs) through its Swap API. This upgrade allows users, excluding those in restricted regions like the U.S., to access these assets directly through the 1inch dApp and wallet. Partners like Bitget and Trust Wallet have already integrated this, granting their users access.

According to 1inch, liquidity is a significant hurdle to RWA adoption. By integrating Ondo Finance's tokenized assets, 1inch aims to make accessing these assets as seamless as swapping native crypto assets.

Ondo Finance recently launched its Global Markets, offering non-U.S. investors access to up to 100 tokenized stocks and ETFs on Ethereum. The company plans to expand this offering to over 1,000 tokenized RWAs by the end of the year.

Sergej Kunz, co-founder of 1inch, remarked that tokenization of real-world assets is “tomorrow’s tech being adopted today,” emphasizing the importance of efficient, jurisdiction-aware access to these assets.

How RWA Swaps Work

Resolvers and professional market makers will execute the RWA swaps, ensuring a secure trading experience. Existing Swap API integrators can now provide their eligible users access to RWAs. Trust Wallet, with over 200 million users, has already announced using the 1inch Swap API to provide access to tokenized RWAs. Bitget Wallet has also integrated Ondo Finance’s tokenized U.S. stocks and ETFs.

Ondo Global Markets: Democratizing Access to U.S. Securities

Ondo Global Markets is now live on Ethereum and expanding to BNB Chain, Solana, and Ondo Chain. It allows non-U.S. retail and institutional users to mint and redeem tokenized U.S. stocks and ETFs 24/7, with access to traditional exchange liquidity. These assets provide exposure to the total economic return of U.S. stocks and ETFs and are fully backed and secured by those assets held at U.S.-registered broker-dealers.

According to Nathan Allman, Founder and CEO of Ondo Finance, this is a breakthrough in financial access, allowing global investors to access the largest selection of transferable tokenized U.S. stocks and ETFs onchain.

The Bigger Picture: Tokenized RWAs and DeFi

The trend towards tokenizing real-world assets is not just a fleeting fad. Aave's Horizon platform also allows borrowing of stablecoins using tokenized real-world assets (RWAs) as collateral. With a TVL of $50 million on its launch day, Horizon is a testament to the increasing institutional adoption of DeFi and tokenized RWAs.

Tokenized RWAs bring several benefits, including increased liquidity, transparency through blockchain, greater accessibility for institutions, and enhanced security through smart contracts.

Final Thoughts

The collaboration between Ondo Finance and 1inch, along with the emergence of platforms like Aave's Horizon, signals a significant shift in the DeFi landscape. Tokenized real-world assets are no longer a futuristic concept; they are becoming a tangible reality. So, buckle up and enjoy the ride as DeFi continues to evolve, making finance more accessible and efficient for everyone!