Franklin Templeton, Ondo Finance Bring 24/7 Tokenized ETF Trading to Crypto Users
Five Franklin Templeton's ETFs will be tokenized via Ondo Finance as the firms seek to broaden access to traditional assets on-chain.
Franklin Templeton has partnered with Ondo Finance to tokenize five of its exchange-traded funds, enabling 24/7 trading access for cryptocurrency users. The collaboration will bring traditional ETFs onto blockchain infrastructure, allowing investors to trade these assets around the clock rather than being restricted to traditional market hours. The partnership represents a significant step in bridging traditional finance with decentralized finance protocols.
The move builds on Franklin Templeton's existing blockchain initiatives, as the asset management giant has previously explored digital asset offerings and on-chain fund management. Ondo Finance specializes in tokenizing real-world assets and has established itself as a key player in bringing traditional financial products to blockchain networks. The partnership aims to democratize access to institutional-grade investment products by leveraging blockchain technology's accessibility and operational efficiency.
This development reflects the growing trend of traditional financial institutions embracing tokenization to expand their reach and offer enhanced liquidity options. The ability to trade ETFs continuously could attract crypto-native investors who are accustomed to 24/7 market availability, potentially increasing overall market participation. The initiative also demonstrates how established asset managers are adapting to meet evolving investor preferences for digital-first financial products.
Industry observers will be monitoring the adoption rates and trading volumes of these tokenized ETFs to gauge market appetite for such hybrid products.
Source: Decrypt
