ONDO surged in value following a decision by the US Securities and Exchange Commission (SEC) to introduce an “Innovation Exemption,” granting temporary relief for certain venues trading tokenized stocks on the blockchain. This measure aligns with Ondo Finance’s ongoing mission to bring traditional securities into the blockchain ecosystem.
SEC introduces temporary framework for tokenized equities
The SEC’s Innovation Exemption paves the way for qualified Tokenized Securities Venues (TSVs) to facilitate trading of tokenized National Market System stocks. To be eligible, these platforms must use permissioned automated market makers and liquidity pools, adhere to strict conditions, and allow challenges to the listing of securities.
This exemption is both temporary and conditional. The SEC emphasized that holders of these tokenized stocks must enjoy the same rights and privileges as owners of their traditional counterparts. However, products that solely track the price of a stock, without representing direct ownership, remain excluded from the framework.
SEC Commissioner Mark Uyeda stated that the initiative is designed to let regulators observe the development of blockchain-based securities markets. The agency said it would use this period to further examine and refine its regulatory approach.
The framework allows regulated blockchain trading of select US stocks while the SEC evaluates its regulatory stance, offering a path forward for securities tokenization.
This move has sparked optimism across the tokenization industry, as it represents the first formal regulatory blueprint for blockchain-based securities marketplaces in the United States.
Mini dictionary: Ondo Finance is a company specializing in bringing real-world assets and securities, such as stocks and bonds, onto public blockchains using tokenization protocols.
ONDO rallies, technical analysis highlights resistance targets
On the news, ONDO—the native token of Ondo Finance—rose sharply, gaining 13.48% over the last 24 hours to trade at $0.3747. The 24-hour trading volume reached approximately $384.07 million, with a market capitalization near $1.81 billion.
| Metric | Value |
|---|---|
| Current price | $0.3747 |
| 24h Volume | $384.07 million |
| Market Cap | $1.81 billion |
| 24h Gain | 13.48% |
Technical analyst Crypto With Gopal noted a rectangle pattern forming on ONDO’s four-hour chart. At $0.353, ONDO faces resistance at $0.425 and has support at $0.320. If the price closes above the resistance, the token could target $0.55. A drop below $0.320, however, could undermine the bullish setup.
On the indicators front, ONDO’s price currently sits at $0.36813, well above the middle Bollinger Band at $0.35559 and below the upper band at $0.38517. This suggests bullish momentum, though the MACD indicator remains below zero at -0.00230, signaling ongoing bearish pressure.
If ONDO holds above $0.425, the technical setup favors a rally toward $0.55, but losing $0.320 support would threaten the uptrend.
Industry outlook and Ondo’s regulatory position
Ondo Finance, which has developed a tokenized stock infrastructure and maintains regulatory registrations via Oasis Pro Markets, stands to benefit if the SEC permanently expands its guidelines. However, the SEC’s move remains temporary and subject to revision pending industry and public feedback.
The exemption presents new challenges and opportunities for both Ondo and the wider securities tokenization market, as participants await further regulatory clarification in the coming months.
