Ondo launches BlackRock-modeled tokens; only non-US can redeem

Ondo Finance launched three on-chain portfolio tokens on Sept. 24 that use model allocations provided by BlackRock. Direct minting and redemption with the issuer is restricted to eligible non-US investors who complete onboarding.

The first products are Ondo High Income (BLKHIon), Ondo Diversified Growth (BLKDIGon) and Ondo High Growth (BLKGRWon). Each portfolio token is issued as a separate security by Ondo Global Markets (BVI) Limited. Ondo manages, sponsors and administers the products and implements the allocations using tokenized assets.

Holding a portfolio token gives economic exposure to a weighted basket of tokenized components, including Ondo Stocks, which track equities and exchange-traded funds. The tokens do not convey ownership rights in BlackRock funds or in the underlying securities tracked by the tokenized components.

BlackRock Fund Advisors supplied the model allocations used to design the three portfolios. BlackRock does not make investment decisions for the on-chain portfolios, does not manage the products, and does not owe advisory or fiduciary duties to token holders. Ondo retains discretion over how to implement the models and may differ from the delivered allocations in timing or execution.

Direct minting and redemption are available only to eligible persons outside the United States who complete Ondo’s onboarding process. The onboarding includes identity verification, anti‑money‑laundering checks and screening for U.S. person status, restricted jurisdictions and prohibited persons. Ondo will process redemptions only for holders who meet these requirements.

Tokens remain transferable on-chain and can trade on secondary venues or peer-to-peer. Possessing a token in a wallet does not by itself grant the right to redeem it with Ondo. Holders who cannot redeem directly must find a third‑party buyer or a trading venue willing to accept the token; liquidity and exit price will depend on market conditions and venue rules.

Ondo’s launch materials state that the portfolios will be rebalanced on a preset schedule determined by Ondo. The company is responsible for execution, custody decisions related to the tokenized components, and administration of issuance and redemption for onboarded investors.

Legal disclosures describe each token as a security issued by Ondo Global Markets (BVI) Limited and clarify that the products provide model-based economic exposure with issuer controls over minting and redemptions for a defined class of investors.