Ondo Finance Lets Institutions Swap Real Shares for
Ondo Finance has introduced a new in-kind conversion feature that lets institutions exchange eligible traditional shares for tokenized versions of those stocks on Ethereum and BNB Chain. According to a September 21 announcement, the feature connects shares held through Alpaca accounts with onchain markets. Institutions can transfer eligible shares to Ondo and receive corresponding Ondo Stocks tokens. They can later redeem the tokens for the underlying shares. How The Conversion Works Institutions transfer eligible shares to Ondos Alpaca account through an internal book transfer. Once the shares arrive, Ondo issues the corresponding tokenized stocks on supported blockchain networks. Related: KuCoin Launches Futures Elite+ With Up to 32% Profit Share and $700 Monthly Salary To redeem the tokens, institutions send them back to Ondo. The underlying shares are then transferred back to the investor. Alpaca must approve institutions before they can use the feature. Participants also need accounts with both Alpaca and Ondo and must complete the required onboarding steps. Tokenized Stocks Expand The structure allows market makers to use existing share holdings to support token inventories without first raising cash. This gives them another way to respond to demand for tokenized stocks. Ondo said the model could support tighter spreads and deeper liquidity. However, those potential benefits depend on









