Stocks on the Blockchain: A New Way to Trade

Ondo Finance has taken a big step forward by adding Chainlink's data feeds to its platform. This move lets users trade tokenized versions of popular US stocks like SPY, QQQ, and Tesla on the Ethereum blockchain. These tokens represent real stocks and ETFs, making them more useful for trading and lending. The integration with Chainlink provides accurate and up-to-date prices for these tokenized assets. This is crucial for DeFi platforms, as they can now use these prices to set rules for collateral and liquidation. Chainlink's feeds also account for corporate actions like dividends, ensuring the values stay correct. Initially, Ondo supports tokens for the SPDR S&P 500 ETF, the Invesco QQQ ETF, and Tesla stock. More tokenized stocks and ETFs are expected to be added soon as the platform grows. This expansion could make tokenized stocks more popular in the DeFi space. Risk management is handled by Sentora, which sets and monitors parameters like collateral factors and liquidation thresholds. This ensures that the lending markets remain stable and secure. By using Chainlink's data, Ondo aims to make tokenized stocks more widely accepted as collateral in DeFi.This development addresses a long-standing issue: tokenized equities were mostly used for price exposure but not widely accepted as collateral. By combining exchange-linked liquidity with onchain price feeds, Ondo and Chainlink are making tokenized stocks more versatile. This could open up new opportunities for lending and other financial products. The partnership between Ondo Finance and Chainlink began in October 2025, with Chainlink becoming the primary data provider for Ondo's tokenized stocks and ETFs. This collaboration highlights the growing importance of reliable data feeds in the blockchain industry. Meanwhile, the race to tokenize US equities is heating up. Regulators are refining the legal framework, and both traditional financial institutions and crypto platforms are jumping in. Nasdaq, for example, filed for a rule change to list and trade tokenized stocks. The SEC has also issued guidelines and no-action letters to support tokenized securities. On the crypto side, exchanges like Kraken and Bybit have launched tokenized US stocks, though these are not yet available to US customers. Robinhood has also entered the fray, introducing tokenized stocks for EU users and developing a blockchain-based platform for 24/7 trading.