Ondo and Broadridge bring proxy voting to tokenized shares
Ondo Finance has partnered with financial technology giant Broadridge to give holders of tokenized shares and exchange traded funds (ETFs) the ability to participate in proxy voting.
Broadridge has built a Web3-enabled relay system where tokenholders connect their crypto wallets to Broadridge's ProxyVote platform, enter their voting preferences, and the ondo issuer votes the real shares accordingly, with the entire process recorded onchain for transparency, Tuesday's announcement said.
“Working with Broadridge will enable our on-chain shareholders to access the governance and voting capabilities of on-chain tokens, along with the added benefits of on-chain tokens,” said Mathieu de Vergnes, global head of institutions at Ondo Finance.
Proxy voting is when a shareholder authorizes someone else to vote on corporate matters. It has long been a standard feature of traditional equity ownership, but tokenized shares largely lack it. The Broadridge integration solves this gap, allowing investors to log in, verify their holdings and vote through their crypto wallet.
Related: SEC ‘over' exemption of onchain tokenized securities: Atkins
Tokenized shares reached 1.15 billion dollars
According to data from RWA.xyz, Tokenized shares rose to $1.15 billion in share price, up 25.46% over the past 30 days. Monthly turnover is $2.27 billion, with over 217,000 holders, an increase of 9.26% in the last month alone.
Tesla, NVIDIA and S&P 500-linked products are among the top assets in value, along with Crib Internet and crypto-linked tokens.
Tokenized shares continue to grow. Source: RWA.xyz
Ondo, with a total market cap of more than $700 million locked in and claiming 70% of the market capitalization, offers its products on Solana (SOL), Ethereum (ETH) and BNB Chain (BNB). The tokens are backed by related stocks or ETFs.
Related: UK plans stablecoins payment regulation changes, tokenized deposits
Franklin Templeton, Ondo brings tokenized ETFs to crypto wallets
Last month, Franklin Templeton and Ondo Finance announced a partnership to bring onchain versions of Franklin ETFs, giving investors access to them through crypto wallets instead of traditional brokerage accounts. The initial offering covers five funds covering US equities, fixed income and gold across Europe, Asia-Pacific, the Middle East and Latin America, with US access pending regulatory clarity.
Meanwhile, Binance has listed 10 tokenized assets from Ondo Global Markets on its Binance Alpha platform, including tracking Apple, Nvidia and the Invesco QQQ ETF.
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