Tokenized Treasuries: BlackRock BUIDL, Ondo, Mountain

What you'll learn

• Why Tokenized Treasuries Are the Killer App
• BlackRock BUIDL: The Category Leader
• Ondo Finance: OUSG and USDY
• Mountain USDM, Franklin BENJI, Hashnote USYC, and the Rest
• Custody, Audits, and the Off-Chain Trust Stack
• Redemption: T+0 Stablecoin vs. T+1 Fiat

Key terms

BlackRock BUIDL

BlackRock USD Institutional Digital Liquidity Fund, launched March 2024 on Ethereum in partnership with Securitize. Tokenized money market fund holding cash, T-bills, and repo. Grew from launch to multi-billion-dollar AUM and remains the largest tokenized treasury product.

Securitize

SEC-registered transfer agent and broker-dealer that runs the on-chain tokenization platform for BUIDL and many other regulated tokenized securities. Maintains holder registries, KYC, allowlists, and mint/burn operations.

Ondo OUSG

Ondo Finance's tokenized short-term U.S. government bond fund, restructured in 2024 to primarily hold BlackRock BUIDL. Permissioned to qualified purchasers; available on multiple chains.

Ondo USDY

Ondo Finance's tokenized note for non-U.S. investors, structured under Cayman law, backed by short-term Treasuries and bank deposits. Rebases upward as yield accrues. Available globally except in restricted jurisdictions.

Franklin Templeton BENJI (FOBXX)

Franklin Templeton OnChain U.S. Government Money Fund — the first SEC-registered '40 Act money market fund with on-chain share recordkeeping. Operates across multiple chains (Stellar, Polygon, Arbitrum, Avalanche, Base, Aptos, Solana).

Mountain Protocol USDM

A rebasing yield-bearing stablecoin backed by short-duration Treasuries, structured as an offshore e-money product (Bermuda). Acquired by Anchorage in 2025. Hundreds of millions of dollars in AUM.

Hashnote USYC

Tokenized money market fund focused on institutional crypto users; integrated as collateral in MakerDAO/Sky's RWA strategy. Acquired by Circle in early 2025.

BNY Mellon (custodian)

Bank of New York Mellon — the dominant custodian for tokenized treasury fund assets, holding the actual T-bills and cash that back tokens like BUIDL.

T+0 USDC redemption

Instant on-chain redemption of a tokenized treasury for USDC via a smart-contract integration. Pioneered by BUIDL in 2024 and now standard for most major products. A market maker fronts the USDC against the burned token, settled with the issuer the next business day.

ONDO governance token

Ondo Finance's governance/equity token, separate from OUSG and USDY. Not a claim on tokenized treasury assets — purely governance and value capture for the Ondo Foundation.