Ondo Turns To Figure’s Stablecoin With $25m Investment To Back...
The investment broadens Ondo Finance’s onchain Treasury reserves and comes amid a renewed push into crypto-backed lending across fintechs, lenders and exchanges.
Ondo Finance has purchased $25 million of YLDS, the yield-bearing stablecoin issued by Figure Technology Solutions, to diversify the assets backing its tokenized US Treasurys fund.
The company said Monday that YLDS will be added to a reserves portfolio that already includes tokenized Treasury products from major asset managers, including funds issued by BlackRock, Fidelity, Franklin Templeton, and WisdomTree.
Designed for institutional investors, the Ondo Short-Term US Government Bond Fund (OUSG) offers onchain exposure to Treasurys with 24/7 redemptions and an estimated annual return of 3.68%. The tokenized fund has about $777 million in total value locked (TVL) as of this writing.
Figure runs lending and capital-markets infrastructure on the Provenance blockchain, and has originated more than $19 billion in loans across home-equity lines, mortgage products, and crypto-backed credit. The deal follows Figure’s completion of its Nasdaq IPO earlier this year. According to DefiLlama data, its YLDS stablecoin has a market capitalization of around $100 million.
Ondo Finance is a US-based platform founded in 2021 that tokenizes traditional financial assets. In October, the company expanded its tokenized asset lineup to BNB Chain, adding more than 100 tokenized Wall Street stocks and exchange-traded funds onchain.
On Wednesday, the platform received regulatory approval from the Liechtenstein Financial Market Authority (FMA) to offer tokenized stocks in Europe.
Figure’s stock price was up nearly 4% in early trading on Monday, according to Yahoo Finance data.
Related: Ondo Finance to SEC: Hold off on Nasdaq’s tokenized securities plan
Crypto-backed lending is gaining traction globally, and the trend has accelerated in 2025 as more lenders revive and expand crypto-collateralized loan products.
Source: CoinTelegraph
