Ondo Finance opened a way for approved institutions to mint its tokenized stocks using shares they already hold, not new cash. Conversions are live on Ethereum and BNB Chain. Alpaca book tran
Ondo Finance opened a way for approved institutions to mint its tokenized stocks using shares they already hold, not new cash.
Conversions are live on Ethereum and BNB Chain.
The route leverages Alpaca’s Instant Tokenization Network, or ITN, alongside Ondo’s existing cash-funded minting.
Through an internal book transfer, an approved institution moves shares from its Alpaca account to the Ondo Alpaca account. Tokens for these shares are then created on the blockchain by Ondo.
The institution redeems its Ondo Stocks tokens, and the shares are returned to its Alpaca account.
Conversions don’t require manual approval on each transaction, Ondo said. Alpaca Clearing is a FINRA regulated broker dealer that provides the brokerage and custody behind the network.
Ondo Stocks also trade on Solana, but the announcement on September 21 only cited conversions on Ethereum and BNB Chain.
Ondo expects the new route to give market makers a way to refill token inventory and to provide “tighter spreads and deeper liquidity” to secondary markets.
How in-kind conversion works and who can use it, from Ondo Finance’s September 21, 2026 blog post.
Access is available for approved institutions on Alpaca on a case-by-case basis.
Participants must have active accounts on both Ondo and Alpaca. Ondo notes that ITN is not a generally available Ondo Stocks feature.
Ondo says it only provides the tokens to eligible non-U.S. persons and says they provide economic exposure to the referenced securities without being stocks, ETFs or ADRs.
As of September 22, Ondo’s platform had $3.63 billion in distributed assets across 441 products. The stock platform hit $1 billion in total value locked in May, less than a year after its launch in September 2025.
One trader bought QQQon tokens worth about $2.3 million in a single Ethereum trade in August, according to Cryptopolitan.
In July, Ondo launched leveraged perpetual futures on U.S. stocks, ETFs and commodities for non-U.S. traders.
The launch follows the SEC’s order for temporary, conditional exemptions on some Tokenized Securities Venues on September 17.
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