Ondo Finance, in collaboration with Kinexys by J.P. Morgan, Mastercard, and Ripple, has completed the first-ever redemption of a tokenized U.S. Treasury bond fund in real time with cross-border settlement. As part of the pilot, Ripple liquidated a portion of its positions in the OUSG fund on the XRP Ledger blockchain. The fiat settlement instruction was routed through the Mastercard Multi-Token Network and executed on Kinexys’ infrastructure: U.S. dollar funds were credited to Ripple’s account in Singapore via J.P. Morgan’s correspondent banking network.
The key difference between this pilot and previous transactions involving tokenized assets is that the settlement took place outside traditional banking windows and without manual processes—blockchain execution and interbank clearing operated as a single, seamless flow. Participants described the transaction as a step toward building an infrastructure that enables 24/7 operation of tokenized asset markets.