WisdomTree joins Ondo Finance’s Global Markets Alliance

WisdomTree has joined Ondo Finance’s Global Markets Alliance. The $131 billion asset manager is known for its work on blockchain-based investment products. The Alliance was launched in June. It is bringing together exchanges, custodians, wallets, and infrastructure providers.

The union aims to build interoperability and compliance frameworks for real-world assets on Ondo’s Global Markets platform. Its recent members include BNB Chain, Bitget Global, Zodia Custody, and LayerZero. Ondo price has jumped 5% over the last 7 days amid fresh joinings. It is hovering around $1 zone.

WisdomTree isn’t a stranger in the digital assets industry. They advised Ondo earlier this year during the launch of Ondo Chain, a Layer 1 built for tokenized assets. The New York-based firm is expected to take on a more active role from here. 

Ondo, in a post, stated that the move reflects growing momentum behind its ecosystem. Earlier, the firm launched its flagship product of $185 million Ondo Short-Term US Government Treasuries (OUSG) token. It is backed by BlackRock’s BUIDL fund. The product will soon expand to Ripple’s enterprise-focused XRP Ledger.

The integration will allow investors to mint and redeem Ondo’s Treasury tokens using Ripple’s RLUSD stablecoin. However, this move is slated to go live within six months.

Ondo becomes Fidelity Fund’s biggest backer

Ondo Finance is now the largest investor in Fidelity’s new tokenized fund, too. It sees Fidelity’s entry as another major milestone in the institutional embrace of tokenization. OUSG’s portfolio also includes Franklin Templeton’s BENJI and WisdomTree’s WTGXX.

The move highlights how traditional finance players are edging deeper into the digital asset space. While BlackRock and Franklin Templeton have led high-profile experiments with tokenized funds, WisdomTree has been among the most aggressive in pushing blockchain-based products, having already launched tokenized funds and a digital wallet platform.

This comes in when Nasdaq has filed with the SEC to allow trading of tokenized securities. It would mark the first time tokenized stocks and ETFs trade on a major US exchange, if approved. This would suggest that the regulators are softening, while Wall Street smells opportunity.

The digital asset market turned red on Tuesday evening, shedding marginal gains. The cumulative crypto market cap stood at $3.85 trillion with a trading volume of $154.4 billion. Bitcoin price dropped below the $111,000 mark as investors’ sentiments remain “Neutral.”

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