Ondo launches three onchain portfolio tokens using BlackRock strategies

Ondo Finance launched three onchain portfolio products based on model portfolio strategies developed by BlackRock. The first product is Ondo High Income Powered by BlackRock, also called BLKHIon. The second product is Ondo Diversified Growth Powered by BlackRock, also called BLKDIGon. The third product is Ondo High Growth Powered by BlackRock, also called BLKGRWon. The products are available to eligible investors outside the US in permitted jurisdictions. Investors can mint or redeem one token instead of handling each position in the basket separately. Ondo said holdings, weights, and every rebalance are visible onchain. The tokens can move peer to peer across wallets, exchanges, and DeFi protocols. Ondo Global Markets issues each portfolio token. Ondo Finance tokenizes each portfolio token. BlackRock provides nondiscretionary model portfolio strategies based on specifications supplied by Ondo. BlackRock does not manage the onchain portfolios. BlackRock does not handle their tokenization, issuance, distribution, custody, or operation. Lisa O'Connor said diversified portfolio strategies can be incorporated into tokenized investment products. Ondo plans to add more onchain portfolios over time. BlackRock previously launched its BUIDL tokenized money market fund with Securitize in March 2024. Ondo later moved $95 million of OUSG assets into BUIDL. BlackRock expanded its tokenization efforts in August with two tokenized money market products aimed at stablecoin reserves. Ondo had previewed the portfolios the previous month. John Hoffman said they would bundle tokenized equities into one token. Ondo Stocks reached $1 billion in total value locked within eight months. The launch came amid a dispute over control of Ondo after founder Nathan Allman's death in May. Kathleen Allman is seeking control of the company and De Bode's removal as chief executive. She alleges that De Bode assumed the role without board approval. De Bode called the allegations meritless.