Ondo tokenizes BlackRock’s IVV ETF and Micron stock under US custodial model
Ondo Finance launches tokenized BlackRock IVV ETF and Micron shares under SEC-defined custodial model with Ethereum-based settlement.
Ondo Finance has launched tokenized versions of BlackRock's iShares Core S&P 500 ETF (IVV) and Micron Technology stock, operating under a custodial framework aligned with existing U.S. Securities and Exchange Commission definitions. The products are settled on the Ethereum blockchain, marking a notable expansion of Ondo's real-world asset tokenization offerings into mainstream equity instruments.
The move follows growing institutional interest in bringing traditional financial assets onto public blockchains. Ondo Finance has previously focused on tokenized U.S. Treasuries and money market instruments, building infrastructure designed to meet regulatory standards. By adopting an SEC-defined custodial model, the company aims to address compliance concerns that have historically slowed institutional adoption of tokenized securities.
The tokenization of widely held products such as the IVV ETF — one of the largest and most liquid equity funds globally — signals a potential shift in how traditional financial assets could be accessed and transferred on-chain. If adopted at scale, such infrastructure could reduce settlement times, lower operational costs, and broaden access to U.S. equities for global participants operating within decentralized finance ecosystems.
Observers will be watching whether other asset managers and tokenization platforms follow with similar equity-linked products, and how U.S. regulators respond to the expanding application of custodial models in blockchain-based securities. The pace of institutional partnerships and secondary market liquidity for these tokens will also serve as key indicators of early adoption.
Source: The Block
