Ondo Finance and Plume Network team up to expand RWAfi use cases

Ondo Finance and Plume Network are joining forces to bring Ondo’s tokenized US Treasury bond products to more investors in the real-world asset finance ecosystem.

The partnership between Ondo Finance (ONDO) and the modular layer-1 blockchain for RWAfi Plume Network targets RWAfi. The goal, according to the two platforms, is to expand access to products like the Ondo US Dollar Yield (USDY) across the Plume Network.

By combining Ondo’s expertise in Treasury-backed yield coins with Plume’s RWAfi-specific infrastructure, the two projects can facilitate onboarding and capital integration. The local export of Ondo’s USDY through Plume is a step in this direction.

The flagship Ondo Finance project, USDY, is the fourth largest tokenized US treasury product, currently valued at over $450 million across eight blockchains.

Current total valuations of Hashnote’s short-term yield coin, BlackRock’s BUIDL, and Franklin Templeton’s Onchain U.S. Government Monetary Fund are $1.8 billion, $621 million, and $554 million, per data from rwa.xyz fixed in dollars.

The launch of USDY on Plume will enable Ondo to bring 4.65% APY to platform users. It also promises to expand access to yieldcoin for global individual and institutional investors. However, Ondo does not offer this product to US investors.

The collaboration not only provides an opportunity to expand RWA use cases, but also contributes to the overall growth of DeFi. Katie Wheeler, vice president of partnerships at Ondo Finance, noted in her statement that the partnership will be a boon for the entire industry.

“Plume creates a network effect of opportunities for RWA issuance, and having a malleable, yield-generating asset to power this economy is a boon for both asset utility and the ecosystem as a whole,” Wheeler said.

The Plume Network team has recently signed several important partnerships and integrations, including Google Cloud, Chateau Capital and on-chain private lending platform Credbull. Plume raised $20 million in a series A round backed by Brevan Howard Digital, Haun Ventures and Galaxy Ventures.