Ondo Finance and Pyth Partner to Unlock Institutionalized Assets for On-Chain Users

DeFi promises to transform the world’s access to capital markets and revitalize the way we do finance. To achieve this goal, on-chain users need access to the world of traditional assets—no matter what blockchain or decentralized app they choose.

Ondo Finance, the leading tokenized real-world asset provider, and Pyth Network have partnered to fulfill this mission. This strategic partnership oversees the launch of the USDY/USD price feed by Pyth to over 65 blockchain ecosystems—a significant milestone in the DeFi landscape, as smart contract developers globally can now tap into a real-time feed for Ondo’s market-leading yieldcoin, USDY.

This launch paves the way for unlocking Ondo USDY to developers and projects building the future of finance and improving access to institutionalized assets on-chain. Price Feeds currently support US Dollar Yield (USDY), and Pyth Network’s over 100 first-party data providers position Pyth to deliver feeds for other real world assets based on demand from Web3 developers.

“This is a huge unlock for developers and projects building the future of finance. Many leading DeFi applications and protocols rely on Pyth as an oracle provider, and this USDY/USD price feed marks a significant step towards cutting through the fragmented nature of blockchain ecosystems to make institutional assets widely accessible.” — Katie Wheeler, VP of Partnerships at Ondo Finance

What is Ondo’s US Dollar Yield Token?

Ondo’s US Dollar Yield (USDY) is a tokenized note secured by short-term US treasuries. USDY provides a stable, yield-generating alternative to traditional stablecoins, blending the benefits of on-chain finance with the reliability of traditional assets. Backed by highly secure and liquid assets, USDY offers sustainable yield for institutional and individual market actors looking to participate in on-chain capital markets.

You can learn more about USDY here.

Unlocking DeFi’s Potential with USDY

The launch of the Pyth USDY/USD price feed expands the reach of USDY to the EVM, Solana, Move, Bitcoin, and Cosmos ecosystems. This partnership with Ondo Finance is another step towards cutting through the fragmented nature of blockchain ecosystems, paving the way for an interoperable and unified DeFi experience.

Wider Reach: The USDY/USD feed is now live on over 65 blockchains, enabling a broader range of on-chain applications to create markets for USDY. Widespread availability of key assets enables a more composable and powerful DeFi landscape.

Multi-Chain Synergies: The availability of USDY/USD across multiple blockchains enables multi-chain expansion opportunities for DeFi applications looking to serve the same markets to new user bases. This advantage breaks down the silos inherent throughout the blockchain world, which in turn establishes cohesive markets where assets can move freely between different chains.

Bridging Traditional and Decentralized Finance: This launch is a significant step towards facilitating the movement of institutional finance into the DeFi space, bringing higher liquidity, security, and stability to the market. Integrating traditional assets via Ondo on smart contract platforms paves the way for more vibrant, sophisticated DeFi products and services.

Real-time Exposure: Pyth Price Feeds update at sub-second speeds, enabling on-chain users to track, monitor, and react to the traditional capital markets in near-real-time speeds. This advantage levels the playing field between DeFi and CeFi solutions for Ondo’s tokenized products, opening these markets to new types of market participants.

Ecosystem Excitement

Oracle feeds for strategic assets are critical for blockchain Foundations looking to grow their ecosystem, attract developers, and better serve users. The Aptos, Solana, and Mantle Foundations are among the first ecosystem leaders to tap into the newly launched Pyth USDY/USD feed.

Aptos

Aptos and Ondo Finance are collaborating to tokenize real-world assets, and the emergence of Pyth Price Feeds for Ondo products will help accelerate this initiative.

Solana

Ondo Finance has recently expanded its US Treasury-backed assets to the Solana ecosystem, as part of a broader trend to bring traditional assets like bonds and credit onto blockchain rails. The introduction of Pyth oracle feeds for these assets bolsters Solana’s offerings as a high-performant Layer 1.

Mantle

Mantle and Ondo Finance have also partnered to further the RWA movement and bring sustainable yield to the broader DeFi ecosystem. The introduction of the Pyth USDY/USD feed is an essential milestone in this initiative.

Sui

Earlier this year, Sui launched support for native USDY as the first yield-bearing stablecoin alternative on the network. The launch of Pyth’s USDY feed on Sui marks a significant milestone in advancing access to USDY in the Sui ecosystem, fostering greater innovation for users and developers.

DeFi Protocols

Additionally, several Pyth ecosystem partners are already integrating this price feed, further expanding its reach and utility.

Drift — A dynamic AMM-based perpetual futures DEX on Solana.

FlashTrade — An asset-backed trading with on-demand liquidity on Solana.

Thala — A DeFi HyperApp and liquidity engined on Aptos.

DePerp — A perpetual trading mini-app in Telegram and webapp on Base.

“Traders on Drift rely heavily on the availability of real-time, accurate price data like USDY. Low-latency price data is crucial to Drift’s products, enabling seamless trades on perpetuals and on-chain derivatives. Pyth's pull oracles significantly reduces the risk of stale pricing.” — Chris, core contributor at Drift

“We are excited to launch USDY into Thala pools, allowing users to trade USDY and gain exposure to tokenized treasury yields. Further, USDY will also be whitelisted as a collateral for our stablecoin, MOD. This is part of our bigger vision to make Thala the Liquidity Hub for RWAs on Aptos.” — Adam Cader, Co-Founder of Thala

“Flash is always on the lookout for innovations in the DeFi that brings more sources of real yield on chain. USDY is a big step in that direction and Pyth’s new price feed allows us to easily integrate it into our pools knowing we are quoting accurate prices for this asset.” Treggs, Head of Risk and Strategy at Flash Trade

What’s Next?

Pyth Network and Ondo Finance have joined forces to support smart contract developers in building a more performant, accessible, and sophisticated decentralized finance.

Developers can explore the price feeds available to see which data feeds—including any new Ondo Finance tokenized products—may be published next.

Resources

• Explore Pyth
• Documentation
• Best Practices
• How Pull Oracles Work
• Pythnet Appchain
• Pyth Price Feeds IDs
• Discord
• Telegram

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USDY Disclaimer:

Important: USDY is not, and may not be, offered, sold, or otherwise made available in the US or to US persons. USDY also has not been registered under the US Securities Act of 1933. You can read the full disclaimer here.