Ondo Finance launches the first on-chain sovereign bond token USDY, officially landing on the Sei Network

The world's leading RWA tokenization platform Ondo Finance has announced that its flagship product — the United States Dollar Yield (USDY) — will officially launch on the Sei Network, becoming the first on-chain sovereign bond asset deployed on this ultra-high-speed Layer1 blockchain.

USDY is currently deployed on multiple blockchains with a TVL of over $680 million, providing an annualized yield of 4.25% (monthly updates). It is aimed at global (excluding U.S.) individual and institutional investors, combining the liquidity advantages of stablecoins with the high-grade investor protection mechanisms found in traditional finance. This integration with Sei enables high-quality yield to be achieved for the first time on this chain's infrastructure, capable of processing tens of thousands of transactions per second. As one of the most widely adopted on-chain sovereign bond-like assets, USDY's inclusion signals Sei's official entry into the institutional-grade DeFi market.

“Bringing USDY to Sei is an exemplar of combining institutional-grade financial products with the next-generation execution layer, bringing forth a more capital-efficient use case for protocols, developers, and end-users.” — Ondo Finance Founder and CEO Nathan Allman.

Behind this integration is the rapidly growing market demand for RWA access on high-performance L1 blockchains. The Sei Network has shown impressive performance in 2025, with a yearly growth rate of up to 821% and a TVL surpassing $670 million. The addition of USDY will further accelerate this momentum, injecting high-quality sovereign bond assets into Sei's on-chain exposure and completing a key piece in its DeFi modular financial product offerings.

“As an industry benchmark for RWA tokenization, we are excited to see USDY formally join the Sei ecosystem.” — Sei Development Foundation Executive Director Justin Barlow stated, “Sei's groundbreaking infrastructure with near-instant finality and parallel execution capabilities makes it an ideal platform for institutional-grade financial products; and USDY is precisely that kind of high-quality, composable yield primitive that can unlock new possibilities for developers to build the next generation of on-chain applications.”

This integration not only further advances Ondo Finance's mission of “democratizing institutional-grade financial products” but also validates Sei Network's vision of constructing high-performance digital asset market infrastructure. With the continued rise in stablecoin usage and on-chain sovereign bond demand, the timing of USDY's launch is opportune, providing not only a premium yield primitive but also serving as a crucial catalyst for ushering in the next phase of on-chain finance.

About Ondo Finance

Ondo Finance is a blockchain technology company focused on real asset tokenization, aiming to bring the traditional market onto the chain and accelerate the building of an open and inclusive financial system. For more information, please visit: https://ondo.finance

About Sei

Sei is a high-speed Layer1 blockchain that focuses on providing high-performance infrastructure for the digital asset market. Since its mainnet launch in 2023, it has served over 35 million wallets and processed billions of transactions. It is currently developing the V3 "Giga" upgrade, which serves as a new scaling solution for the Ethereum ecosystem. Investors include Multicoin, Jump, Coinbase Ventures, and others.

For more information, please visit: https://www.seifdn.org

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