The Financial Services Regulatory Authority (FSRA) of the Abu Dhabi Global Market (ADGM) has granted formal approval for the trading of Ondo Finance's tokenized stocks and exchange-traded funds (ETFs) on Binance's regulated platform. This landmark decision marks the first explicit authorization for tokenized securities trading under the ADGM's regulatory framework.
The approval allows Binance's ADGM-regulated Multilateral Trading Facility to list tokenized versions of major U.S. equities, including shares of Amazon, Alphabet, Apple, Circle, Meta, Microsoft, Nvidia, and Tesla, as well as the Invesco QQQ ETF. These products will be available exclusively to non-U.S. users. Ondo structures these instruments as equity-linked notes, with each token representing a beneficial ownership claim on the underlying shares held by a qualified custodian.
Ian de Bode, President of Ondo Finance, stated the listing significantly broadens market access: "Through offering Ondo tokenized stocks for trading on Binance, we are expanding access to hundreds of millions of investors." The company reports over $11 billion in cumulative trading volume since launch and more than $600 million in Total Value Locked (TVL) within six months across its tokenized equity offerings.
This regulatory clearance provides Binance with a sanctioned channel for tokenized equity trading in Abu Dhabi, following the shutdown of a similar service in other jurisdictions due to regulatory scrutiny. The move aligns with a broader industry trend, with data from RWA.xyz indicating the total tokenized stock market has surpassed $1 billion in value. Ondo Finance had previously secured approval for its base securities prospectus in the European Union in 2024, enabling public distribution across member states.
