The post Ondo Finance Makes Big Change in Reserve Strategy With $25M Investment in Figure appeared on BitcoinEthereumNews.com. Ondo Finance has taken a notable step in reshaping the reserve strategy behind its flagship tokenized treasury product. This comes as on Monday, the RWA leader announced a $25 million strategic investment in Figure Technology Solutions’ yield-bearing stablecoin, $YLDS. The purchase will see YLDS added to the reserve mix that backs Ondo’s OUSG short-term U.S. Treasuries token. This is a move Ondo’s Partnership Head Katie Willer says “will diversify yield sources” and bolster the fund’s on-chain liquidity and institutional appeal. Source: Linkedin Post Ondo Finance Invests in Figure’s Yield-Bearing Stablecoin A yield-bearing stablecoin is fundamentally different from a regular stablecoin, even though both aim to maintain a near-$1 value. A regular stablecoin—such as USDT, USDC, or BUSD—is pegged to $1 and backed by reserves, typically cash, cash equivalents, and short-term U.S. Treasuries. However, holders do not earn any yield from those underlying assets. Instead, the issuer (like Tether or Circle) captures the interest generated by the reserves. In contrast, a yield-bearing stablecoin—such as YLDS (Figure), sDAI (Maker), USDY (Ethena), or USDM (Mountain Protocol)—is still designed to maintain a ~$1 value but automatically pays holders interest. These tokens are generally backed by short-term Treasuries or other interest-bearing assets, and the yield is passed directly to users instead of being kept by the issuer. Also Read: Reserve Strategies of Top Stablecoin Issuers And Figure’s $YLDS is not a run-of-the-mill stablecoin. Launched by Figure and issued through its Figure Certificate Company unit in February 2025, it is  first interest-bearing transferable stablecoin. YLDS is structured as a registered debt security that pays interest and is backed largely by short-term U.S. Treasuries and repo agreements. Because it is registered with the U.S. Securities and Exchange Commission, YLDS is designed to offer a yield profile and regulatory clarity that many unregulated algorithmic or fiat-backed stablecoins lack.… The post Ondo Finance Makes Big Change in Reserve Strategy With $25M Investment in Figure appeared on BitcoinEthereumNews.com. Ondo Finance has taken a notable step in reshaping the reserve strategy behind its flagship tokenized treasury product. This comes as on Monday, the RWA leader announced a $25 million strategic investment in Figure Technology Solutions’ yield-bearing stablecoin, $YLDS. The purchase will see YLDS added to the reserve mix that backs Ondo’s OUSG short-term U.S. Treasuries token. This is a move Ondo’s Partnership Head Katie Willer says “will diversify yield sources” and bolster the fund’s on-chain liquidity and institutional appeal. Source: Linkedin Post Ondo Finance Invests in Figure’s Yield-Bearing Stablecoin A yield-bearing stablecoin is fundamentally different from a regular stablecoin, even though both aim to maintain a near-$1 value. A regular stablecoin—such as USDT, USDC, or BUSD—is pegged to $1 and backed by reserves, typically cash, cash equivalents, and short-term U.S. Treasuries. However, holders do not earn any yield from those underlying assets. Instead, the issuer (like Tether or Circle) captures the interest generated by the reserves. In contrast, a yield-bearing stablecoin—such as YLDS (Figure), sDAI (Maker), USDY (Ethena), or USDM (Mountain Protocol)—is still designed to maintain a ~$1 value but automatically pays holders interest. These tokens are generally backed by short-term Treasuries or other interest-bearing assets, and the yield is passed directly to users instead of being kept by the issuer. Also Read: Reserve Strategies of Top Stablecoin Issuers And Figure’s $YLDS is not a run-of-the-mill stablecoin. Launched by Figure and issued through its Figure Certificate Company unit in February 2025, it is  first interest-bearing transferable stablecoin. YLDS is structured as a registered debt security that pays interest and is backed largely by short-term U.S. Treasuries and repo agreements. Because it is registered with the U.S. Securities and Exchange Commission, YLDS is designed to offer a yield profile and regulatory clarity that many unregulated algorithmic or fiat-backed stablecoins lack.…