Ondo Finance Seeks SEC Approval for Tokenized Securities on Ethereum
Ondo Finance has submitted a no-action letter request to the U.S. Securities and Exchange Commission (SEC) regarding its proposed model for recording securities entitlements on Ethereum.
The firm's Ondo Global Markets platform sells tokenized notes that give non-U.S. investors access to U.S.-listed stocks and ETFs, which are held through the Depository Trust Company via U.S. broker-dealer Alpaca.
Ondo would issue tokens on the Ethereum network to represent corresponding securities entitlements, used for tracking and administering these entitlements on-chain rather than relying solely on traditional record-keeping.
The SEC has shown increasing openness to tokenized financial products in recent months, with Commissioner Hester Peirce encouraging firms to engage directly with the agency when exploring tokenized offerings.