Drift Protocol, a decentralized and open-source exchange platform operating on the Solana blockchain, has revealed a groundbreaking partnership. The platform has joined forces with Ondo Finance, an institutional-level financial protocol, to introduce RWA collateral into the Solana DeFi ecosystem. This exciting development was shared with the public through a post on the social media platform X.
In a significant milestone, Drift Protocol has announced that $USDY can now be utilized as collateral on their platform, marking the first time yield coins have been accepted on a perpetuals platform. This move has welcomed the Ondo Ecosystem into Drift, opening up new opportunities for $USDY holders on the Solana network.
The collaboration between Drift Protocol and Ondo Finance signifies a unique effort in the realm of decentralized finance. The partnership involves integrating assets such as tokenized treasury bills as collateral on a perpetual trading platform. Ondo Finance has elaborated on this initiative in a detailed post on X, showcasing the innovative nature of the project.
Expressing their enthusiasm for the collaboration, Drift Finance emphasized the groundbreaking aspect of using yield coins as collateral for the first time. With $USDY now available as collateral on Drift Protocol, Solana users holding these tokens can leverage yield-bearing coins for margin trading and perpetual contracts, thereby improving capital efficiency.
The ability to borrow and deposit $USDY tokens on Drift, along with the utilization of various assets as collateral, will empower traders to enhance their trading experience. Cindy Leow, co-founder of Drift Protocol, highlighted the significance of this partnership in achieving the platform’s mission to establish a fully on-chain trading forum.
By allowing traders to utilize any collateral for trading, the collaboration between Ondo Finance and Drift Protocol brings them closer to their vision of creating a versatile trading platform. This integration adds value to real-world tokenized assets and boosts capital efficiency for traders, as noted by Ondo Finance’s COO and President, Justin Schmidt.
Overall, the partnership between Drift Protocol and Ondo Finance represents a significant step towards enhancing capital efficiency for Solana-based perpetual users, ushering in a new era of decentralized finance.
