Ondo US Dollar Yield (USDY)
Summary
Ondo US Dollar Yield (USDY) is a tokenized yield-bearing note issued by Ondo USDY LLC, a Delaware bankruptcy-remote special purpose vehicle affiliated with Ondo Finance, and backed by short-duration U.S. Treasuries, iShares Short Treasury Bond ETF shares, and bank demand deposits. The token is offered exclusively to non-U.S. persons under a Regulation S exemption, accrues yield through a rising token price or daily rebasing, and had grown to approximately $740 million in supply across ten blockchains as of early 2026. A two-year SEC investigation into Ondo Finance was closed without charges in December 2025, though ongoing risks include centralized price-setting infrastructure, limited FDIC deposit coverage on a portion of reserves, and access and composability constraints imposed by the token's on-chain allowlist system.
Connected Entities
1 entities · 10 linked investigations- + 1 more
Timeline(12 events)
2023-08-03
Ondo Finance announces the launch of USD Yield (USDY) on Ethereum as a tokenized note secured by U.S. Treasuries and bank deposits, offering 5% APY to non-U.S. investors.
Ondo Finance Blog2023-10-01
SEC initiates a confidential investigation into Ondo Finance, examining whether its tokenized real-world asset products and the ONDO token comply with federal securities laws.
CoinDesk2024-02-01
Ondo Finance expands USDY to Solana, with Solana eventually hosting approximately 35% of total USDY float.
Invezz2024-04-01
Code4rena and Cyfrin complete independent smart contract audits of the USDY Ethereum contract suite.
Ondo Finance Documentation2024-06-01
Halborn completes the first of two security audits for USDY's Noble (Cosmos) blockchain deployment.
Ondo Finance Documentation2025-02-01
Halborn completes a security audit of the USDY Ethereum contracts.
Ondo Finance Documentation2025-03-01
USDY total supply surpasses $1 billion in TVL, a significant adoption milestone for tokenized U.S. Treasuries.
Ondo Finance Blog2025-03-01
Spearbit completes a security audit of the USDY Ethereum contracts.
Ondo Finance Documentation2025-12-08
The SEC formally closes its two-year investigation into Ondo Finance without filing charges, finding no enforcement action warranted. ONDO token gains approximately 6% on the news.
CoinDesk2025-12-04
Ondo Finance submits a letter to SEC Chair Paul Atkins and the Crypto Task Force outlining models for onchain migration of securities markets.
U.S. Securities and Exchange Commission2025-12-15
Ondo USDY LLC is folded into the Ondo Stocks product umbrella, though USDY continues operating under its existing legal and structural framework.
Eco Support - Ondo USDY Tokenized Treasuries Explained2026-04-13
Ondo Finance submits a second letter to SEC Director Jamie Selway and the Crypto Task Force detailing further proposals for securities tokenization.
U.S. Securities and Exchange CommissionDecision Log
- #1publish⛓ pending7/22/2026, 12:09:40 PMhash: HNUuejYUezUKvVU1DF6H2L3okw7FssDJmHt7k5WKgW3L
This investigation is cryptographically anchored to the Solana blockchain and source URLs are archived via the Internet Archive.
model: claude-sonnet-4-6
generated: 7/22/2026, 12:09:32 PM
last updated: 7/22/2026, 12:09:40 PM
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