Ondo Finance said it will work with Franklin Templeton to bring tokenized versions of traditional investment products to blockchain users, a move that reflects a broader push to merge conventional finance with crypto infrastructure.
The effort centers on Ondo Global Markets, a platform that issues blockchain-based tokens backed by real-world assets such as publicly traded stocks and exchange-traded funds. These tokens track the value of the underlying securities and can be held in digital wallets, allowing users to gain exposure without opening a brokerage account.
Franklin Templeton, which manages around $1.7 trillion in assets, will provide investment products and support the launch. The companies also plan to launch educational programs aimed at crypto-native users who may not be familiar with long-term portfolio strategies.
The partnership builds on a growing trend where large asset managers are testing blockchain rails to distribute products. Franklin Templeton has already developed digital asset tools, while others, including BlackRock, have explored tokenized funds and on-chain settlement.
Ondo Global Markets, launched in September 2025, reports more than $620 million in total value locked and more than $12 billion in trading volume among 60,000 users. The company says demand is coming from users who want exposure to traditional markets without the friction of cross-border accounts, currency conversions or trading hours.
The implications go beyond convenience. Tokenization could reshape how assets move and who can access them. Traditional markets operate with limited hours and levels of intermediaries. Blockchain systems, on the other hand, operate 24 hours a day and allow direct ownership through wallets.
Still, the change will test how far tokenized securities can go within existing rules. Regulators have yet to fully address how these instruments should be treated when they cross borders and wallets rather than brokerage.
Competition is also increasing. A growing list of companies now offer tokenized funds, and major financial players are weighing how to defend their role as gatekeepers. If it is based on blockchain
If distribution gains ground, it could undermine the advantage that banks and brokers have long had in controlling access to the markets.
For Ondo and Franklin Templeton, the bet is that investors will prefer a model that combines familiar assets with new lanes.
