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Ondo Finance launched three onchain portfolio tokens based on model strategies developed by BlackRock: High Income (BLKHIon), Diversified Growth (BLKDIGon) and High Growth (BLKGRWon). Available to eligible investors outside the U.S. in permitted jurisdictions, each lets investors mint or redeem one token instead of managing the basket's positions individually.
Why it matters
Ondo says the portfolios' holdings, weights and rebalances are visible onchain, and the tokens can move peer-to-peer across wallets, exchanges and DeFi protocols. The structure combines established portfolio strategies with tokenized access, although availability is restricted by jurisdiction.
BlackRock's role is limited to supplying nondiscretionary model strategies based on specifications from Ondo. It does not manage the portfolios or handle their tokenization, issuance, distribution, custody or operation. Ondo Global Markets issues the tokens, which Ondo Finance tokenizes.
Market impact
The launch extends Ondo's tokenized markets offering and follows BlackRock's BUIDL money market fund, launched with Securitize in March 2024. Ondo later moved $95 million of OUSG assets into BUIDL. Ondo says it plans to add more onchain portfolios over time.
The products also build on Ondo's earlier tokenized equity offering: Ondo Stocks reached $1 billion in total value locked within eight months, according to the company's managing director and head of product portfolios. That figure provides a measure of existing demand for bundled tokenized exposure, though the new portfolios are separate products.
Frequently asked questions
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What are the three portfolio tokens Ondo launched?
They are Ondo High Income (BLKHIon), Ondo Diversified Growth (BLKDIGon) and Ondo High Growth (BLKGRWon), based on BlackRock-developed model strategies.
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Who can access Ondo's new portfolio tokens?
They are available to eligible investors outside the U.S. in permitted jurisdictions.
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What does BlackRock do for the Ondo portfolios?
BlackRock provides nondiscretionary model portfolio strategies based on specifications supplied by Ondo. It does not manage or operate the portfolios.
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What information about the portfolios is visible onchain?
Ondo says the portfolios' holdings, weights and every rebalance are visible onchain.
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How does the launch build on Ondo and BlackRock's earlier tokenization activity?
BlackRock launched BUIDL with Securitize in March 2024, and Ondo later moved $95 million of OUSG assets into BUIDL. Ondo says it plans to add more onchain portfolios.
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