Blockchain breakthrough: Ondo Finance redeems tokenized Treasuries in seconds
A landmark cross-border transaction has taken place using blockchain technology. Ondo Finance successfully redeemed its tokenized U.S. Treasury fund in near-real time, bridging traditional and digital financial systems. The pilot involved major players like JPMorgan, Mastercard, and Ripple to complete the process outside standard banking hours. The transaction used Ondo Finance’s tokenized U.S. Treasury fund, OUSG, to demonstrate real-time settlement across borders. Mastercard’s Multi-Token Network enabled the cross-border leg, ensuring smooth interoperability between on-chain assets and fiat currencies. Ripple provided the underlying blockchain infrastructure via the XRP Ledger, which processed the deal in under five seconds.
JPMorgan contributed through its Kinexys platform, a blockchain-based system that has already handled over $3 trillion in transactions. The collaboration marked the first time tokenized Treasuries settled instantly across different banks and jurisdictions, even outside conventional banking windows. At the time of the transaction, XRP—the native cryptocurrency of the XRP Ledger—was trading at $1.42. The asset showed a slight daily increase of around 1% and a monthly rise of about 6%.
The pilot proves that blockchain can speed up cross-border settlements for tokenized assets. By combining JPMorgan’s Kinexys, Mastercard’s Multi-Token Network, and Ripple’s ledger, the transaction set a new benchmark for efficiency. Future applications could further reduce reliance on traditional banking hours for global financial movements.
