Ondo's ONDO token surged 17% to $0.37 on Friday, hitting a one-month high. The move came as the first DTC-backed tokenized stocks went live — Circle (CRCL) stock and the SPDR S&P 500 ETF (SPY) are now represented on-chain as CRCLon and SPYon. Bitcoin barely budged over the same period, making Ondo's rally stand out.
Tokenized stocks go live
The tokens are backed by DTC Tokenized Entitlements generated through the DTCC Tokenization Service. Underlying shares stay in DTC custody. Ondo connects to the DTC participant network via Alpaca Markets, a brokerage infrastructure firm. That setup lets Ondo offer tokenized versions of real securities without moving the actual shares off the depository.
DTCC has been testing the service with more than 30 firms, including BlackRock, JPMorgan, Goldman Sachs, Nasdaq, and NYSE. Ondo is one of the first to launch a live product.
SEC green light
The SEC granted DTC a No-Action Letter seven months ago, clearing the way for tokenization of custodied assets. That letter was a prerequisite for the current rollout. Without it, DTC couldn't legally generate tokenized entitlements against shares held in its system. The timing of the letter — well before the planned full service launch — gave firms like Ondo room to build and test.
October launch ahead
DTCC plans to launch its full tokenization service in October 2026. That's when the infrastructure is expected to open up to a wider set of participants. For now, Ondo's debut is a proof of concept — a small but concrete step toward putting traditional securities on public blockchains. The question is how many more issuers follow before October.
