Franklin Templeton, Ondo Finance launch tokenized ETFs for 24/7 trading

Franklin Templeton has partnered with Ondo Finance (ONDO) to launch five tokenized exchange-traded funds (ETFs) that can be traded directly from cryptocurrency wallets, Bloomberg reported. The offerings, available for trading 24/7, include tokenized versions of a U.S. equity strategy (FFOG), a systematic large-cap fund (FLQL), a gold fund (FGDL), a high-yield corporate bond fund (FLHY), and a dividend-focused U.S. equity strategy (INCE). The service will initially be available in Europe, the Asia-Pacific region, the Middle East, and Latin America, with U.S. support to follow once regulatory clarity is established. Investors in the tokenized ETFs will hold rights to the returns rather than directly owning the underlying assets, enabling new applications such as use in DeFi or as collateral. The report added that other large asset managers, including BlackRock and WisdomTree, are also pursuing plans to tokenize ETFs in the U.S.