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Sei Welcomes USDY: Tokenized US Treasury Bills Enhance Blockchain Ecosystem
USDY, a tokenized US Treasury Bill product by Ondo Finance, is set to join the Sei blockchain, marking a significant milestone in institutional-grade asset integration. This move underscores Sei’s commitment to institutional-grade asset offerings and further cements its position in the rapidly evolving decentralized finance (DeFi) landscape.
The introduction of USDY to Sei signifies a major advancement in the network’s capability to attract institutional-grade real-world assets (RWAs). USDY, which accounts for over 32% of the tokenized treasury user base, is the second most adopted tokenized treasury product. It follows major competitors like Blackrock’s BUIDL and Franklin Templeton’s BENJI.
The integration of USDY is expected to enhance Sei’s total value locked (TVL), which has already seen an impressive 821% growth year-over-year, surpassing $670 million.
Developers on the Sei platform currently face challenges in accessing tokenized treasuries, often having to navigate multiple protocols. The USDY integration simplifies this process by offering a direct, institutional-grade asset backed by US Treasuries. This offers developers several advantages: Access to productive collateral for DeFi protocols seeking safe, yield-bearing assets.
Full ERC-20 composability within Sei’s Ethereum Virtual Machine (EVM).
Enhanced capabilities for building next-generation financial applications.
The collaboration between the Sei Development Foundation and Ondo Finance is expected to ensure a smooth integration of USDY into the ecosystem. With over $680 million in TVL across various blockchains, USDY’s proven institutional demand is expected to bring substantial value to Sei’s infrastructure.
This move marks the beginning of a transformative era in on-chain finance.
Source: Blockchain.News
