Ondo urges SEC, CFTC to bring US stock perpetuals onshore
Ondo Finance has formally petitioned the SEC and CFTC to authorize the domestic offering of perpetual futures tied to individual U.S. stocks. In three comment letters submitted on August 24, the firm argued that existing security futures frameworks are sufficient to regulate these products without requiring new legislation. Ondo contends that modern onchain margining and scheduled funding payments effectively align perpetual contracts with underlying asset prices, mirroring traditional futures functionality. The company currently operates an offshore platform via a Panama-based affiliate that offers stablecoin-settled perpetuals on U.S.-listed equities. This platform has already achieved $8 billion in cumulative trading volume within six weeks of its launch, demonstrating significant market demand. By advocating for an onshore regulatory pathway, Ondo aims to capture the substantial volume currently migrating to offshore venues. As the fourth-largest tokenized RWA manager by distributed value, Ondo's proposal highlights the growing tension between innovative onchain derivatives and current U.S. regulatory boundaries. This initiative represents a strategic effort to integrate high-velocity RWA derivatives into the regulated U.S. financial ecosystem.
- Ondo Finance submitted three comment letters to the SEC and CFTC on August 24.
- Offshore perpetuals platform recorded $8 billion in trading volume within six weeks.
- Ondo argues existing security futures frameworks can accommodate perpetual contracts without new rules.
- Ondo ranks as the fourth-largest tokenized RWA manager by distributed value.
Ondo Finance is a prominent RWA protocol that specializes in tokenizing institutional-grade financial products, such as U.S. Treasuries and money market funds. The platform utilizes blockchain technology to provide onchain access to traditional yield-bearing assets, bridging the gap between decentralized finance and regulated capital markets.