Ondo Finance is excited to announce that Ondo Stocks tokenized stocks are now live in DeFi lending markets, starting with SPYon and QQQon.
Through integrations with Morpho, and risk management by Gauntlet, Ondo tokenized U.S. stocks and ETFs can now be used as productive, risk-managed collateral in Ethereum DeFi. This represents a major unlock for Ondo Stocks and a meaningful step forward in bringing traditional capital markets onchain.
From Exposure to Productive Capital
Tokenized stocks have historically been limited to passive exposure - assets you could hold or trade, but not meaningfully deployed across DeFi. Lending markets change that.
By enabling SPYon and QQQon to be supplied as collateral, Ondo Stocks assets can now support borrowing, leverage, and capital-efficient strategies alongside crypto-native assets. This transforms tokenized equities from static representations of TradFi exposure into active building blocks within the DeFi ecosystem.
Why Morpho and Gauntlet
Morpho is one of the largest and most respected onchain lending infrastructures, known for its capital-efficient architecture and institutional-grade design. Its permissionless and isolated lending market design enables precise risk isolation, making it well-suited for introducing new collateral types such as tokenized equities.
Risk management for these vaults is handled by Gauntlet, the leading risk partner for many of DeFi’s largest protocols. Gauntlet is responsible for defining and monitoring key parameters, including collateral factors, borrow caps, and liquidation thresholds, ensuring these markets are launched with conservative, data-driven risk controls from day one.
The decision to launch with SPYon and QQQon reflects a deliberate, risk-managed approach. As broad-market ETFs with deep underlying liquidity and diversified exposure, they are well-suited as the first tokenized equities to support lending use cases.
A New Chapter for Onchain Capital Markets
This launch builds directly on the recent rollout of institutional-grade oracle infrastructure and marks the next phase of Ondo Stocks’ expansion into DeFi.
With lending now live, Ondo Stocks assets move closer to functioning as first-class collateral primitives - capable of supporting borrowing, structured products, and more advanced DeFi strategies over time. As integrations expand, tokenized stocks and ETFs can begin to play a central role in onchain portfolios and capital markets infrastructure.
This is a significant milestone, and it’s only the beginning.
