Franklin Templeton & Ondo Launch 24/7 Tokenized ETFs
Franklin Templeton is partnering with Ondo Finance to launch tokenized versions of five of its ETFs – covering US equities, fixed income, and gold – accessible through crypto wallets 24/7. This initiative bypasses traditional brokerage accounts and standard market hours, initially targeting investors in Europe, Asia-Pacific, the Middle East, and Latin America. The structure involves Ondo purchasing ETF shares and issuing tokens representing economic exposure, not direct ownership, enabling potential use in DeFi applications. Investors will gain continuous access and liquidity provided by Ondo’s market makers. While U.S. access is pending regulatory clarity, this move represents a significant expansion of Franklin Templeton’s digital asset footprint and Ondo’s tokenized securities platform, Ondo Global Markets, which already boasts significant TVL and trading volume. The collaboration aims to bridge traditional finance with blockchain technology, offering a new avenue for accessing established asset classes and catering to a growing digital-native investor base.
Key Points
- 1Franklin Templeton and Ondo Finance are launching tokenized ETFs for 24/7 trading via crypto wallets.
- 2The initial rollout focuses on international markets (excluding the U.S. for now) and includes five ETFs spanning equities, fixed income, and gold.
- 3Ondo will purchase ETF shares and issue tokens representing economic exposure, allowing for potential DeFi integration.
Market Impact
This launch expands access to traditional financial products for crypto-native investors and signals a growing trend of institutional adoption of blockchain technology in finance. It could drive further innovation in tokenized asset offerings and potentially reshape how ETFs are distributed and traded globally.