DeFi claims to revolutionize global capital market accessibility and breathe new life into the financial industry. Regardless of the blockchain or decentralized app they use, on-chain users must have access to the world of conventional assets in order to accomplish this aim.
Pyth Network and Ondo Finance, the leading provider of tokenized real-world assets, have joined forces to achieve this goal. A major turning point in the DeFi landscape, this strategic alliance manages Pyth’s rollout of the USDY/USD price feed to over 65 blockchain ecosystems. With this, smart contract developers worldwide may now access a real-time feed for Ondo’s market-leading yieldcoin, USDY.
With this launch, Ondo USDY will now be accessible to developers and initiatives creating the financial infrastructure of the future and enhancing access to institutionalized assets on-chain. Price Feeds now supports US Dollar Yield (USDY), and Pyth Network’s over 100 first-party data providers enable Pyth to supply feeds for additional real-world assets in response to Web3 developer demand.
Katie Wheeler, VP of Partnerships at Ondo Finance:
“This is a huge unlock for developers and projects building the future of finance. Many leading DeFi applications and protocols rely on Pyth as an oracle provider, and this USDY/USD price feed marks a significant step towards cutting through the fragmented nature of blockchain ecosystems to make institutional assets widely accessible.”
What is Ondo’s US Dollar Yield Token?
The US Dollar Yield (USDY) issued by Ondo is a tokenized note backed by short-term US treasuries. With the reliability of conventional assets combined with the advantages of on-chain finance, USDY offers a yield-producing, reliable substitute for traditional stablecoins. USDY, which is supported by highly safe and liquid assets, provides institutional and individual market participants wishing to engage in on-chain capital markets with a sustainable yield.
More information on USDY is available here.
Unlocking DeFi’s Potential with USDY
With the release of the Pyth USDY/USD price feed, USDY is now available in the ecosystems of EVM, Solana, Move, Bitcoin, and Cosmos. Another step toward overcoming the dispersed nature of blockchain ecosystems and creating a single and interoperable DeFi experience is this cooperation with Ondo Finance.
Greater Reach: Now that the USDY/USD feed is operational across more than 65 blockchains, a wider variety of on-chain apps may establish markets for USDY. A more cohesive and potent DeFi landscape is made possible by the widespread availability of key assets.
Multi-Chain Synergies: Multi-chain growth potential are made possible for DeFi apps that aim to offer the same markets to new user bases by the availability of USDY/USD across different blockchains. This benefit creates integrated markets where assets may flow freely across chains, dismantling the inherent barriers in the blockchain ecosystem.
Connecting Conventional and Decentralized Finance: With this launch, the market will see more liquidity, security, and stability and institutional finance will be able to move more easily into the DeFi space. The integration of conventional assets on smart contract platforms via Ondo creates the foundation for more advanced and dynamic DeFi offerings.
Exposure in real time: On-chain users are able to track, monitor, and respond to the conventional capital markets almost instantly thanks to Pyth Price Feeds, which updates at sub-second speeds. For Ondo’s tokenized products, this advantage creates a level playing field for DeFi and CeFi solutions, allowing new players to enter these markets.
Ecosystem Excitement
Oracle feeds for crucial assets are essential for blockchain foundations who want to expand their developer community, enhance user experience, and extend their ecosystem. Solana, Mantle Foundation, and Aptos Foundations are among of the first ecosystem leaders to take advantage of the recently launched Pyth USDY/USD feed.
Aptos
The launch of Pyth Price Feeds for Ondo products will assist to expedite the tokenization of real-world assets, which is a joint venture between Aptos and Ondo Finance.
Solana
As part of a larger movement to move conventional assets like bonds and credit onto blockchain rails, Ondo Finance has recently added US Treasury-backed assets to the Solana ecosystem. Solana’s position as a high-performing Layer 1 is strengthened with the addition of Pyth oracle feeds for these assets.
Mantle
Mantle and Ondo Finance have teamed up to advance the RWA movement and provide the larger DeFi ecosystem with sustainable yield. A significant advancement in this endeavor is the launch of the Pyth USDY/USD yield.
Sui
Sui introduced support for native USDY earlier this year, making it the network’s first yield-bearing alternative stablecoin. An important step toward expanding user and developer access to USDY in the Sui ecosystem is the introduction of Pyth’s USDY feed on Sui, which encourages further innovation.
DeFi Protocols
Furthermore, other Pyth ecosystem partners are already integrating this price feed, broadening its scope and value.
Drift: A dynamic perpetual futures DEX on Solana based on AMM.
Chris, core contributor at Drift stated:
“Traders on Drift rely heavily on the availability of real-time, accurate price data like USDY. Low-latency price data is crucial to Drift’s products, enabling seamless trades on perpetuals and on-chain derivatives. Pyth’s pull oracles significantly reduces the risk of stale pricing.”
FlashTrade: An asset-backed trading that provides on-demand liquidity on Solana.
Treggs, Head of Risk and Strategy at Flash Trade stated:
“Flash is always on the lookout for innovations in the DeFi that brings more sources of real yield on chain. USDY is a big step in that direction and Pyth’s new price feed allows us to easily integrate it into our pools knowing we are quoting accurate prices for this asset.”
Thala: A DeFi HyperApp and liquidity engined on Aptos.
Adam Cader, Co-Founder of Thala stated:
“We are excited to launch USDY into Thala pools, allowing users to trade USDY and gain exposure to tokenized treasury yields. Further, USDY will also be whitelisted as a collateral for our stablecoin, MOD. This is part of our bigger vision to make Thala the Liquidity Hub for RWAs on Aptos.”
DePerp: A perpetual trading mini-app in Telegram and webapp on Base.
What Comes Next?
Pyth Network and Ondo finance have partnered to help smart contract developers build decentralized finance that is more advanced, accessible, and efficient.
Developers may go through the available price feeds to discover which data feeds, including any new Ondo Finance tokenized products, will be released next.
Resources
- Explore Pyth
- Documentation
- Best Practices
- How Pull Oracles Work
- Pythnet Appchain
- Pyth Price Feeds IDs
- Discord
- Telegram
Disclaimer for USDY:
Important: USDY is not, and may not be, made accessible to US citizens or offered for sale in the US. Additionally, USDY is not registered under the 1933 US Securities Act. The whole disclaimer is available here.
