- On Monday, Ondo Finance announced that users will now be able to transfer US stocks and ETFs to Hyperliquid’s HyperEVM using the Ondo Bridge powered by LayerZero.
- With this integration, users will be able to transfer assets from Ethereum and BNB Chain to HyperEVM, including more than 35 tokenized assets such as SPYon, QQQon, NVDAon, TSLAon, GOOGLon, CRCLon, SLVon, NFLXon, BABAon, COPXon, UNon, PPLTon, and PALLon.
- The new bridge will allow traders on Hyperliquid to use real estate as collateral alongside perpetual futures contracts.
On May 11, Ondo Finance announced the merger of LayerZero’s bridge to sell Ondo Finance shares on HyperEVM, revealing its focus on the high-growth sector.
Ondo Finance Integrates LayerZero Bridge Despite Strange Events
In a recent announcement, Ondo Finance disclosed that their tokenized stocks are now available for transfer from BNB Chain and Ethereum to Hyperliquid’s HyperEVM using Ondo Bridge, powered by LayerZero.
This integration will allow users to access tokenized stocks and ETFs on Hyperliquid’s HyperEVM, as well SPYon, QQQon, NVDAon, TSLAon, GOOGLon, CRCLon, SLVon, NFLXon, BABAon, COPXon, UNon, PPLTon, and PALLon.
Ondo Finance is a leader Real-World Asset (RWA) tokenization platform that brings valuable assets from the traditional economy to the sustainable environment.
Hyperliquid is one of the largest permanent exchanges, and its Association of HIP-4 activities has made history recently after hitting $6.2 million in first day sales.
In official announcementThe platform said, “Instead of creating dividend income, Ondo stocks and ETFs tap into the stock market. Prices are based on stock exchanges such as the NYSE and Nasdaq, which are designed to be consistent and effective throughout the market.“
These stocks and ETFs offer the same investment as before for selected traders on Hyperliquid. These on-chain transactions allow investors to interact advanced methods like capital-efficient portfolio hedging. This type of strategy allows traders to minimize their losses during a downturn in the currency market.
Although Hyperliquid is not the only way to sell Ondo Finance shares, as there are many protocols that have included the same service, including Felix and Melt. Felix already offers more than 260 tokenized stocks and trading currencies to its users.
Latest Use of LayerZero Raises Security Concerns
The announcement of the integration ot LayerZero powered bridge comes within the latest protection on LayerZero. In a shocking cyber attack linked to North Korea’s Lazarus Group, Kelp DAO was robbed of nearly $292 million after its LayerZero bridge was compromised in the attack. This is another example that shows the inherent vulnerabilities in communication bridges, making them a soft target for hackers around the world.
A cyber attack on the Kelp DAO has sent shockwaves through the DeFi world, wiping out more than $13 billion from the ecosystem immediately after it happened. This attack on the Kelp DAO has caused chaos in the entire crypto market, as many lending protocols were being stripped of large amounts of money, leading to a lack of transparency in lending.
The DeFi attack on the bridge has created bad debt in the DeFi market.
Boom In Tokenized Stocks Amid New Regulatory Guidelines
Stocks and ETFs are equivalent to shares or investments in companies, which are converted into digital tokens through a blockchain-based platform. Although it works in the same way as ordinary goods, it has some differences, such as immediate termination. The value of stocks with these indicators has grown dramatically over the past few months, including stocks and ETFs.
According to on-chain data, tokenized equities are on track to reach $1 billion in market value in 2026.
Ondo Finance is one of the popular platforms, which currently has $935 million in tokenized equities total value locked (TVL), and the number of transactions. This is a major part of the tokenized stocks market.
In June 2025, Kraken announced the launch of xStocks. This is the stock platform that offers over 100 US stocks and ETFs. Currently, the platform is spending more than $25 billion on all activities. The platform also plans to expand to over 500 properties by the end of this year.
One of the main factors behind the stock’s rise is the increase in systemic exposure. At the beginning of this year, the US SEC revealed new guidelines where the agency confirmed that tokenized stocks and ETFs are securities under existing laws, and their release on the blockchain does not change the law.
After this clarification from the SEC, many companies are planning to incorporate tokenized stocks. Recently, Nasdaq and the NYSE have recently received approvals for pilot programs that allow the trading of popular types of stocks and ETFs, including stocks found on the S&P 500.
Many large financial institutions are also rushing to adopt the concept of a symbolincluding big names like BlackRock, Franklin Templeton, JPMorgan, etc.
Some Traditional Groups Are Opposing The Idea Of Tokenized Stocks
While many companies are planning to incorporate new technologies such as tokenized stocks, their critics are raising questions about the safety of investors. Also, these trade associations say that the market with tokens can distribute money.
SIFMA and other groups have urged regulators to take a cautious approach to the implementation of tokenized commercial transactions. SIFMA said in official post that “SIFMA and its members strongly support innovation in the securities markets. However, the implementation and potential benefits of the securities markets are based on ensuring that they are followed by the same securities that they invest in and the fair market principles that have helped to make the US markets the largest and deepest in the world. “
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