Ondo executive says tokenization is following the same path as early ETFs

John Hoffman, Ondo Finance's managing director and head of product portfolios, observed that tokenized assets appear to be following a similar path to exchange-traded funds (ETFs), which experienced early skepticism but have since gained widespread adoption. Speaking at the Wyoming Blockchain Symposium 2026, Hoffman likened the current market development to the progression of a new technology that will ultimately transform markets.

Hoffman, who joined Ondo Finance over two months ago after a 18-year career in traditional finance, noted that ETFs faced many of the same doubts that the tokenization sector is currently experiencing. These doubts primarily revolved around the technology's functionality and the problems it aims to solve. Ondo Finance began offering tokenized U.S. Treasuries in early 2023 with the launch of its institutional fund OUSG, which now holds approximately $2 billion in total value locked across its Treasury products.

Within eight months of launching Ondo Global Markets, a platform for tokenized stocks and ETFs, the company reached $1 billion in total value locked (TVL). Hoffman highlighted that stablecoins took three years to reach $1 billion in TVL, while tokenized treasuries accomplished this in just 18 months. He attributed this swift adoption to the clear product-market fit.

Hoffman further revealed that Ondo's perpetuals platform generated about $9 billion in notional volume since its launch seven weeks ago. The firm is currently preparing to introduce intelligent portfolios, which will bundle tokenized equities into a single token. While these products are currently only available outside the U.S., Hoffman believes that legislative developments like the Clarity Act could pave the way for introducing them in the United States as well.

As regulatory clarity continues to improve, he expressed optimism about the potential for similar tokenization success in the U.S.