Ondo USD Governance (OUSG) is a tokenized U.S. Treasury bill fund founded by Ondo Finance CEO and founder Nathan Allman. It provides exposure to short-term U.S. government securities through blockchaintechnology, and allows investors to access U.S. Treasury yields using digital tokens. ^[1]

Overview

OUSG represents a bridge between traditional finance and decentralized finance (DeFi), offering investors a way to gain exposure to U.S. Treasury bills through blockchain-based tokens. The fund is managed by Ondo Finance, a company focused on making institutional-grade financial products accessible to a broader audience through blockchain technology. ^[1]

The product combines traditional financial instruments with modern blockchain infrastructure, allowing investors to deposit stablecoins or USD and receive tokens representing their share in the underlying Treasury bill portfolio. This structure enables easier access to government securities while maintaining the benefits of blockchain technology, such as programmability and potential for integration with other DeFi protocols. OUSG is available on Ethereum mainnet, Polygon, and Solana.

In June 2025, Ondo Finance expanded OUSG to the XRP Ledger, making it the fourth supported blockchain. On the XRP Ledger, users can mint and redeem OUSG using Ripple's U.S. dollar-backed stablecoin, RLUSD, providing 24/7 access to short-term U.S. Treasuries for the network's institutional user base. This expansion leverages XRPL's capabilities for fast settlement and around-the-clock accessibility. ^{[1] [4] [5]}

Key Features

• Instant Minting & Redemption: Users can mint or redeem OUSG 24/7 using USDC or PYUSD, with tokens sent directly to the originating wallet. Daily limits apply based on platform capacity, with plans to raise these over time.
• Low Minimums: Instant transactions require a minimum of $5,000. For standard (non-instant) activity, the minimum investment is $100,000 and the minimum redemption is $50,000.
• Dual Token Structure:
  • OUSG (Accumulating): Token value increases over time as yield accrues.
  • rOUSG (Rebasing): Maintains a fixed $1 price, with yield distributed through automatic increases in token quantity held.
• Daily Yield Updates: Rebasing for rOUSG occurs automatically with each business day’s OUSG price update. ^[2]

OUSG vs rOUSG

• Yield Mechanism:
  • OUSG: Accumulates yield by increasing in price over time.
  • rOUSG: Maintains a stable $1.00 price, with yield distributed through an automatic increase in token quantity (rebasing).
• Token Behavior Example:
  • If both OUSG and rOUSG start at $1.00 and the rebasing factor is 1.10:
    • OUSG remains as 1 token now valued at $1.10.
    • rOUSG becomes 1.10 tokens, each still valued at $1.00.
• Usage Considerations:
  • rOUSG may offer compatibility challenges with some platforms that do not support rebasing assets.
  • OUSG may be preferred in environments requiring non-rebasing token structures.
• Conversion:
  • Users can switch between OUSG and rOUSG through the conversion tool available on the product’s website. ^[3]