Ondo Finance TVL surpasses 2 billion, but the real test is in two days

Ondo Finance’s total value locked (TVL) surpassed $2 billion this week, reaching a new all-time high. This figure is more than double the TVL from early March last year, further consolidating the platform’s leadership in the rapidly expanding real-world asset (RWA) sector. However, behind this milestone, there is also an upcoming liquidity test.

Ondo’s On-Chain Footprint

In terms of on-chain distribution, Ethereum remains the primary network for Ondo tokenized assets. According to the latest data:

Ethereum’s dominance reflects its core value as the settlement layer for on-chain real-world assets. Public data shows that Ondo’s TVL on Ethereum accounts for about 11.6% of the total TVL in the Ethereum RWA sector, indicating its significant role within the ecosystem.

Growth Engine Driven by OUSG

The growth in TVL is mainly driven by Ondo’s flagship product, OUSG (a fund holding tokenized short-term US Treasury bonds). This product currently holds over $820 million in US Treasuries, offering investors an annualized yield of around 4-5%. The success of OUSG has opened a new distribution channel—allowing ordinary users to access traditional financial assets at lower thresholds, which was unimaginable in the past.

Institutional Recognition Strengthened

Ondo Finance has completed SEC investigations, establishing itself as a compliant leader in RWA. This status has attracted attention from major asset management firms such as BlackRock, JPMorgan Chase, and Fidelity. The recent Ondo Summit, which saw participation from these institutions, further boosted market confidence in its long-term prospects.

From market performance, Ondo holds a 55% market share in on-chain tokenized stock trading, with tokenized stock trading volume on the Bitget platform surpassing $1.1 billion. All these data points point in the same direction: institutional-grade real assets on the blockchain are no longer just a concept but a reality happening now.

Hidden Risk: Unlocking Big Test

However, behind this impressive performance, there is a risk factor that cannot be ignored. According to the latest news, Ondo will undergo a large-scale token unlock on January 18 (just 2 days from now). The unlock will amount to approximately $770 million, representing 19.4% of the total circulating supply, which is about 130% of the current circulating supply.

Such large-scale unlocks typically bring liquidity pressure. Although Ondo’s fundamentals remain strong, the significant increase in token supply in the short term could exert downward pressure on the price. Technically, recent ONDO trading has oscillated between $0.40 and $0.43, with some technical indicators showing bearish signals.

Sector Background Support

It is worth noting that the entire RWA sector experienced explosive growth by 2025. From less than $200 million at the beginning of 2024, it surged to over $7.3 billion by the end of 2025. This growth rate indicates a genuine market demand for on-chain real-world assets, and the entry of giants like BlackRock provides a regulatory endorsement for the entire sector.

Summary

The milestone of $2 billion TVL for Ondo Finance is indeed noteworthy, reflecting the rapid maturation of the RWA sector and accelerated institutional adoption. However, for investors, the upcoming token unlock in the next two days is equally critical. It will serve as an important test of Ondo’s fundamental strength and market liquidity depth. In the long term, the outlook for the RWA sector remains optimistic, but close attention to market dynamics is necessary in the short term.