What Has Ondo Launched With BlackRock?
Ondo Finance has launched three tokenized investment portfolios based on model strategies developed by BlackRock, extending its real-world asset business from individual stocks and funds into diversified portfolios represented by a single onchain token.
The products are Ondo High Income Powered by BlackRock (BLKHIon), Ondo Diversified Growth Powered by BlackRock (BLKDIGon) and Ondo High Growth Powered by BlackRock (BLKGRWon). They are issued by Ondo Global Markets and available to eligible non-U.S. investors in permitted jurisdictions.
Instead of buying and managing each underlying asset separately, investors can mint or redeem one token that provides economic exposure to the weighted basket. Holdings, portfolio weights and scheduled rebalances are recorded onchain, while the tokens can be transferred between wallets and used across compatible exchanges and decentralized finance protocols.
“Portfolios like these have never been available onchain. Now, they are made accessible onchain, transferable at any time, and usable across DeFi,” Ondo Finance Acting CEO and President Ian De Bode said.
The launch pushes Ondo beyond the individual tokenized equities offered through Ondo Global Markets, turning groups of tokenized assets into portfolio products that can themselves move across blockchain infrastructure.
What Is BlackRock Actually Doing?
BlackRock‘s involvement is limited to developing nondiscretionary model portfolio strategies for Ondo based on specifications supplied by the tokenization company. It does not manage the onchain portfolios or handle their issuance, tokenization, custody, distribution or day-to-day operation.
That distinction matters because the tokens are Ondo products rather than BlackRock funds placed directly on a blockchain. BlackRock provides the portfolio construction framework, while Ondo determines how those strategies are translated into tokenized investment products and distributed to eligible users.
“Diversified portfolio strategies can be incorporated into tokenized investment products, enabling eligible investors to access diversified allocations through a single instrument,” said Lisa O’Connor, BlackRock’s Global Head of Model Portfolio Solutions. “It shows how established portfolio construction approaches can be delivered through new channels and technologies.”
BlackRock already has direct experience with blockchain-based investment products through BUIDL, its tokenized money market fund launched with Securitize in 2024. Its tokenization business expanded again in August when BlackRock launched additional tokenized money market products aimed partly at institutional cash and stablecoin reserve demand.
Investor Takeaway
Ondo is testing whether tokenization can move beyond putting individual securities onchain and replicate the portfolio layer of traditional asset management. If investors adopt the products, the addressable market shifts from tokenized stocks toward entire investment strategies that can be held and transferred as single blockchain assets.
Why Do Portfolio Tokens Matter for Ondo?
The model changes what a tokenized security can represent. Instead of using blockchain infrastructure only as a wrapper around one stock, ETF or Treasury product, Ondo can package multiple tokenized assets into a programmable portfolio with predefined allocations and automatic rebalancing.
That could make tokenized securities more useful inside DeFi. A diversified portfolio token could potentially be transferred, used as collateral or incorporated into other financial applications without requiring a protocol to handle every underlying security individually.
Ondo has spent the past year building the infrastructure underneath that model. Its tokenized equities platform has grown to hundreds of securities, while the company recently added in-kind minting and redemption for tokenized stocks and ETFs, allowing approved institutions to convert underlying shares directly into their tokenized equivalents instead of funding every issuance with cash.
Ondo has also expanded the uses for those assets. Its perpetual futures platform allows tokenized stocks to serve as collateral, while other trading venues have integrated Ondo assets for spot and derivatives trading.
Can Ondo Bring the Model to U.S. Investors?
The three BlackRock-based portfolio tokens are currently restricted to eligible investors outside the U.S., reflecting the regulatory divide that still separates many offshore tokenized securities products from the American market.
Ondo is building a separate regulated route into the U.S. Its SEC-registered broker-dealer subsidiary Oasis Pro Markets received additional FINRA authorizations in July covering tokenized corporate equities and investment funds.
That does not make the new BlackRock-based portfolios available to U.S. investors, but it gives Ondo infrastructure for a regulated domestic securities business alongside its international tokenized markets operation.
The launch also deepens the commercial connection between Ondo and BlackRock. Ondo previously moved part of the assets backing its OUSG Treasury product into BlackRock’s BUIDL fund, while BlackRock has continued expanding its own tokenized fund lineup.
The next test is whether investors want portfolio construction itself tokenized. Individual tokenized stocks have already established demand for blockchain-based market access. Ondo is now betting that the same infrastructure can package diversification, allocation and rebalancing into a single transferable asset.
