Full story
Ondo pivots to Ondo Network
Ondo Finance abandoned its plan to develop a layer-1 blockchain and launched Ondo Network, an infrastructure designed to facilitate the negotiation of tokenized assets with speed and privacy for institutional investors.
“Ondo drops tokenized asset blockchain plans for private, high-speed trading network The new network powers Ondo's recently-launched perpetual futures platform and will eventually support trading across onchain financial assets”
The company said Ondo Network will handle trades away from public blockchains and is already being used by Ondo Perps, its perpetual futures platform.
LCX Exchange described the system as running trading software inside one protected computing environment the company calls “enclaves,” while transfers are ultimately recorded on public blockchains.
CoinDesk reported that after developing Ondo Perps, Ondo concluded that a traditional blockchain was not the most suitable tool to handle the speed and confidentiality required by institutional trading.
In a message to CoinDesk, CEO Ian de Bode said, "The Ondo Network is the continuation of what we set out to build with the Ondo Chain," and tied the pivot to the needs of the applications being developed.
Enclaves, attestors, and privacy
Multiple outlets described Ondo Network as separating trade execution from blockchain settlement, with secure hardware enclaves executing applications privately while asset transfers continue to settle on public blockchains.
CoinTrust said the infrastructure is already operational through Ondo Perps and described a hybrid architecture where enclaves execute approved application code within hardware-isolated environments.
CoinTrust added that a decentralized group of independent attestors verifies the software running inside these enclaves and distributes fragments of critical cryptographic keys.
DiarioBitcoin said Ondo Network separates the execution of orders from their final liquidation on blockchain and processes buy and sell orders privately so other participants cannot observe positions, strategies, or order flows.
DiarioBitcoin also quoted CEO Ian de Bode explaining the decision, saying the company concluded that a blockchain conventional was not the best tool for the speed, privacy, and efficiency required by institutional markets.
What comes next for tokenized markets
Ondo Network’s launch was framed as a step beyond issuing tokenized assets toward building infrastructure for trading, with CoinDesk saying the new network represents the next step for Ondo to go beyond issuing tokenized assets and build the infrastructure to enable their trading.
“Ondo Finance, the tokenized-asset specialist, has abandoned its plans to create a conventional layer-1 blockchain, opting instead to introduce a trading network that it believes is better suited to the next wave of financial assets on the blockchain”
CoinDesk reported that Ondo said the network could eventually support spot markets, lending, structured products, and settlement infrastructure alongside perpetual futures.
DiarioBitcoin said the company plans to incorporate operations al contado, préstamos, productos estructurados y otros servicios de liquidación financiera as part of the broader expansion of tokenized financial assets.
LCX Exchange reported that Ondo said it may later add more operators, record more activity on public blockchains and introduce a system requiring participants to put up tokens as security, while giving no timeline.
CoinDesk also tied the pivot to Wall Street momentum for tokenization, noting that perpetual futures are expanding to traditional assets such as stocks and commodities like oil and gold as tokenization gains traction.
