Ondo
Finance’s
governance
token
(ONDO)
jumped
Thursday
after
the
tokenized
asset
platform
tested
out
the
newly
introduced
ability
to
do
near-instant
conversions
between
Circle’s
USDC
stablecoin
and
BlackRock’s
new
BUIDL
token.
An
Ondo
wallet
on
Ethereum
redeemed
$250,000
worth
of
BUIDL
tokens
in
exchange
for
USDC,
Etherscan
data
shows.
That
was
an
attempt
to
try
out
the
USDC-to-BUIDL
feature
announced
Thursday
by
Circle,
Ondo
Finance
CEO
Nathan
Allman
said
in
a
Telegram
message
to
CoinDesk.
“We
are
using
it
to
power
instant
24/7/365
redemptions
of
OUSG
into
USDC,”
Allman
added.
OUSG
refers
to
the
Ondo
Short-Term
U.S.
Government
Treasuries
token
backed
by
securities
sold
by
the
U.S.
government.
Read
more:
Ondo
Finance
to
Move
$95M
to
BlackRock’s
Tokenized
Fund
for
Instant
Settlements
for
Its
T-Bill
Token
ONDO
gained
as
much
as
8%
as
news
about
the
transaction
started
circulating
on
social
media
crypto
circles
before
paring
some
of
its
advance.
BlackRock,
one
of
the
world’s
most
powerful
financial
institutions,
made
headlines
last
month
by
entering
the
asset
tokenization
race,
a
red-hot
sector
in
the
crypto
industry
to
place
traditional
financial
instruments
such
as
bonds,
credit
or
commodities
to
blockchain
rails.
The
BlackRock
USD
Institutional
Digital
Liquidity
Fund,
created
with
tokenization
firm
Securitize,
holds
cash,
U.S.
Treasury
bills
and
repurchase
agreements.
Investment
in
the
fund
is
represented
by
the
Ethereum-based
BUIDL
token,
which
provides
yield
paid
out
via
blockchain
rails
every
day
to
token
holders.
Ondo
Finance
was
one
of
the
early
adopters
of
the
fund,
using
it
as
a
backing
asset
for
its
OUSG
token.