Figure and Ondo's $25M Deal Builds a Regulated Bridge to On-Chain Finance

NEW YORK, NY – November 24, 2025 – In a move that signals a significant maturation of the digital asset economy, Ondo Finance has announced a $25 million strategic investment into Figure Technology Solutions’ innovative $YLDS stablecoin. The partnership, unveiled today, will see Ondo integrate the regulated, yield-bearing token into its flagship Ondo Short-Term US Treasuries Fund (OUSG), further solidifying the bridge between traditional financial instruments and the burgeoning world of on-chain finance.

This collaboration is more than a simple transaction; it represents a powerful validation of regulated digital assets as the future backbone for institutional capital. Coming on the heels of Figure’s highly successful IPO on Nasdaq in September, the investment underscores growing confidence in blockchain infrastructure that prioritizes compliance and transparency. As these two leaders in real-world asset (RWA) tokenization deepen their ties, they are charting a course for a more efficient, accessible, and institutional-grade financial system.

The New Architecture of On-Chain Yield

The core of this partnership lies in the unique nature of the assets involved. Figure's $YLDS is not a typical stablecoin. It stands apart as the first SEC-registered, interest-bearing stablecoin in the United States. Issued by a registered investment company subsidiary, Figure Certificate Company, $YLDS is classified as a public security. This structure allows it to legally distribute yield, generated from its backing of U.S. Treasuries and Treasury repo agreements, directly to KYC-verified holders. This model starkly contrasts with other major stablecoins, which generate interest from reserves but do not typically pass it on to the end-user.

For Ondo Finance, integrating $YLDS into its OUSG fund is a strategic masterstroke. OUSG has already established itself as a leading on-chain vehicle for institutional-grade exposure to U.S. Treasuries, with assets recently surpassing $780 million. Its strategy involves diversifying across a portfolio of top-tier tokenized funds from giants like BlackRock (BUIDL), Fidelity (FDIT), and Franklin Templeton (BENJI). The addition of Figure’s $YLDS enhances this diversification, adding another regulated, high-quality yield source to its ecosystem.

“Our investment in $YLDS strengthens OUSG’s position as the leading on-chain vehicle for institutional clients,” said Ian De Bode, President of Ondo Finance. “Figure has built robust infrastructure for tokenized lending, and integrating $YLDS into OUSG’s yield strategy further diversifies and institutionalizes the ecosystem supporting our products.”

This integration creates a powerful flywheel effect: Ondo gains a unique, compliant yield source, while Figure’s $YLDS gains a significant institutional use case, boosting its liquidity and market presence.

Building a Regulated Bridge to DeFi

The partnership's true significance lies in its unwavering commitment to regulatory compliance—a critical factor for attracting cautious institutional capital into the decentralized finance (DeFi) space. Figure has meticulously built its ecosystem on a foundation of regulatory adherence. The SEC registration of $YLDS provides a level of legal clarity and investor protection that is paramount for asset managers and large financial players.

This focus on compliance was previously validated in a landmark achievement for the entire blockchain industry. Earlier this year, Figure secured a coveted AAA rating from S&P Global Ratings for a $355 million mortgage asset securitization. The transaction, backed by Home Equity Line of Credit (HELOC) loans originated on Figure’s proprietary Provenance Blockchain, was the first-ever blockchain-based securitization to receive top-tier ratings across all its bond classes from S&P. This accomplishment not only demonstrated the robustness of Figure's technology but also proved that blockchain infrastructure could meet the stringent standards of the world's most conservative institutional investors.

By choosing to partner with Figure, Ondo is doubling down on this compliance-first ethos. OUSG itself is structured for accredited investors, ensuring its offerings align with established securities regulations. This shared vision for a regulated on-chain future is what makes the collaboration so potent.

“This partnership bolsters the dominance of the $YLDS stablecoin in tokenized real-world assets,” noted Michael Tannenbaum, CEO of Figure Technology Solutions. “Ondo shares our belief that blockchain can transform how money moves, making it faster, more transparent, and more inclusive.”

Post-IPO Momentum and the RWA Ecosystem

Figure's recent market debut has provided it with both the capital and the public validation to accelerate its mission. The company's successful IPO, which saw its stock surge on the first day of trading, signaled strong investor appetite for fintech platforms that are fundamentally rewiring capital markets. With over $19 billion in loans already originated on its Provenance Blockchain, Figure has a proven track record of tokenizing real-world assets at scale.

The $25 million investment from Ondo will directly fuel the expansion of Figure’s flagship DeFi platform, Democratized Prime. This on-chain lend-borrow marketplace allows users to interact with pools backed by RWAs, such as Figure’s signature on-chain HELOC loans. Within this ecosystem, $YLDS serves as the primary collateral asset. The increased liquidity and adoption driven by the Ondo partnership will enhance the platform's efficiency, attract more users, and expand the utility of tokenized assets.

This strategic capital injection is not merely about funding; it’s about ecosystem building. As more institutional capital flows into $YLDS via partners like Ondo, the stability and utility of Figure's entire DeFi architecture are reinforced, creating a more robust and attractive environment for on-chain lending and borrowing backed by tangible, real-world value.

A Competitive Edge in a Tokenized World

The market for tokenized U.S. Treasuries and RWAs is becoming increasingly competitive, with financial titans like Franklin Templeton making significant inroads with products like its BENJI fund. However, the Figure-Ondo partnership carves out a distinct competitive advantage. While competitors focus on creating standalone products, Figure and Ondo are building an interconnected ecosystem.

Ondo’s OUSG acts as an aggregator of the best-in-class regulated products, offering clients diversified exposure through a single, streamlined vehicle. Figure, meanwhile, provides a foundational piece of that puzzle with $YLDS, while also operating a full-stack platform for originating, financing, and trading RWAs. Together, they create a vertically integrated yet open ecosystem that is difficult to replicate.

Their combined efforts are aimed squarely at accelerating the institutional adoption of on-chain finance. By demonstrating that compliant, transparent, and efficient markets can be built on the blockchain, they are not just competing with other crypto-native firms; they are presenting a compelling alternative to the legacy financial system itself. This collaboration is a clear indicator that the tokenization of real-world assets is moving from a niche experiment to a mainstream financial revolution, poised to unlock trillions of dollars in illiquid assets and reshape global capital markets for decades to come.