USDY, OUSG and Ondo Stock Tokens Compared

Ondo Finance's tokenized products—USDY, OUSG, and its stock tokens—offer investors distinct claims on traditional assets, differing in structure, eligibility, and redemption rights. USDY is a yield-bearing, non-US-person-accessible token backed by short-duration US Treasuries and bank demand deposits, while OUSG provides accredited US investors exposure to short-term US Treasuries via a tokenized interest in the OUSG fund. Ondo's stock tokens represent tokenized exposure to equities, with secondary-market purchases not guaranteeing direct redemption rights with the issuer—a key distinction the article emphasizes. The comparison matters because market purchases of these tokens do not establish that the buyer can redeem directly with the issuer, meaning secondary-market buyers may hold tokens without issuer-level redemption access. Investors should watch for updates on eligibility rules, redemption mechanics, and regulatory treatment of tokenized traditional assets.