Grvt Plans $100 Million USDY Position Through Ondo Finance Partnership

CeDeFi platform Grvt is partnering with tokenization firm Ondo Finance to build a $100 million position in USDY, a yield-bearing tokenized note backed primarily by short term US Treasurys, over the coming year. The platform plans to integrate the asset into its Grvt Earn product, holding and managing USDY directly on its balance sheet so returns feed into a single base rate users already receive, without requiring them to acquire the underlying token themselves.

Adding to an Established Yield Source

USDY currently ranks as the third-largest tokenized product of its kind, backed by short-term Treasurys, Treasury-based ETF shares, and bank deposits, with roughly $2.14 billion in assets under management across more than 15,000 holders. At its current annual yield near 3.5%, a fully deployed $100 million position would generate approximately $3.5 million in annualized returns, adding to Grvt Earn’s existing yield sources, including platform revenue and lending activity through Aave.

Part of a Broader Tokenized Fixed-Income Trend

This partnership reflects a growing movement of firms entering onchain fixed-income markets, an area that has become one of the more established segments of tokenization following products from major asset managers and Wall Street institutions offering tokenized Treasury and short-duration fixed-income instruments. Grvt, a hybrid decentralized exchange built on an Ethereum scaling network, has been expanding its product lineup since raising Series A funding last year and launching its own token earlier this year.