Key facts
- Ondo Finance has abandoned its layer-1 blockchain plans.
- Ondo Finance is launching the Ondo Network.
- The Ondo Network is an offchain execution layer for financial markets.
- The network separates fast, private trade execution from on-chain settlement.
- The first application on the Ondo Network is Ondo Perps.
- Ondo Perps will allow trading of tokenized assets as collateral.
Ondo Finance has announced a significant pivot in its strategic direction, moving away from its initial plans to develop a layer-1 blockchain. Instead, the company is launching the Ondo Network, which is designed as an offchain execution layer specifically tailored for financial markets. This new infrastructure aims to enhance the trading of tokenized assets by allowing them to be used as collateral. The core innovation lies in its ability to separate the speed and privacy of trade execution from the finality of on-chain settlement. The first product to leverage this new network is Ondo Perps, an application that will enable users to trade tokenized assets serving as collateral. This move represents a departure from building a new blockchain and focuses on creating a specialized layer for financial transactions.