Fidelity Launches Onchain Money Market Fund with Ondo Finance as Key Partner

Fidelity has introduced the Fidelity Digital Interest Token (FDIT), a tokenized money market fund, marking another significant step in institutional adoption of blockchain-based financial products. ONDO Finance's Short-Term US Treasuries Fund (OUSG) serves as the primary anchor, comprising over 99% of FDIT's initial assets.

The move follows a broader trend of traditional asset managers embracing tokenization. BlackRock's March 2024 launch of its BUIDL fund, which Ondo subsequently integrated, demonstrated growing momentum for onchain Treasury products. Fidelity's entry further validates the sector's maturation.

Tokenization of real-world assets continues gaining traction among institutional players, with Circle's USDC integration and multi-collateral approaches becoming industry standards. Ondo's early leadership in this space positions it as a key infrastructure provider as traditional finance migrates onchain.