# Ondo US Dollar Yield review: Trust Score 73/100 (Solid)

Source page: https://vaultx.llc/reviews/ondo-us-dollar-yield · independent VaultX review by Rex · updated 2026-11-10

Institutional tokenized Treasury note with solid backing, but limited to accredited investors

USDY is a tokenized note backed by short-term US Treasuries and bank deposits, launched in May 2023 by Ondo Finance. The product delivers approximately 4-5% APY and is audited by Halborn and Quantstamp with no reported security breaches. It's restricted to accredited investors and non-US persons due to securities regulations, requiring KYC/AML verification. The company raised $44 million from reputable investors including Founders Fund and Pantera Capital, with a doxxed leadership team including former Goldman Sachs executives.

**Red flags**
- Restricted to accredited investors only, limiting retail access
- Lower secondary market liquidity compared to traditional stablecoins
- Geographic restrictions exclude many potential users
- Some users report KYC verification delays
- Redemption process (1-2 business days) slower than instant crypto transfers

**Green flags**
- Doxxed leadership team with Goldman Sachs backgrounds (Nathan Allman, Justin Schmidt)
- Audited by Halborn and Quantstamp with no major vulnerabilities reported
- No security breaches or hacks reported since May 2023 launch
- Raised $44 million from reputable investors (Founders Fund, Pantera Capital, Tiger Global)
- No regulatory warnings, lawsuits, or enforcement actions found
- Backed by BlackRock's institutional fund and US Treasuries
- Listed on Coinbase (November 2024) indicating regulatory compliance
- Regular attestations and transparent backing structure
- Delivered promised yields consistently since launch

**Sources**
- Ondo Finance Official USDY Page https://ondo.finance/usdy
- Ondo Finance Company Page https://ondo.finance/
- Ondo Finance LinkedIn https://www.linkedin.com/company/ondo-finance/
- The Block: Ondo Finance Raises $20M Series A https://www.theblock.co/post/256449/ondo-finance-raises-20-million-series-a
- CoinDesk: Ondo Finance Raises $24M Extension https://www.coindesk.com/business/2023/10/17/tokenization-platform-ondo-finance-raises-24m-from-morgan-stanley-execs/
- Coinbase: Support for Ondo USDY https://www.coinbase.com/blog/coinbase-announces-support-for-ondo-usdy
- CoinDesk: Coinbase Lists USDY https://www.coindesk.com/business/2024/11/19/coinbase-lists-ondo-finances-tokenized-treasury-product-usdy/
- Ondo Finance Documentation https://docs.ondo.finance/

Not financial advice. Nobody can pay for a VaultX review.

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