What is Ondas xStock (ONDSx)?

Quick Facts

• Issuer: Backed Finance, under the xStocks ecosystem
• Underlying asset: Ondas Inc. (ONDS) Common Stock
• Backing ratio: 1:1 with real shares held by a regulated custodian
• Blockchains: Solana, Ethereum, BNB Chain, TON, and more
• Trading: Available on DEXs and select centralized exchanges
• Shareholder rights: Not conveyed to token holders
• Redemption: Tokenholders may redeem or sell for USD, crypto, or stablecoins

Introduction

Ondas xStock (ONDSx) is a blockchain-based token that represents a real equity position in Ondas Inc., a publicly traded company on the NASDAQ. It is issued by Backed Finance as part of the xStocks product suite — a growing collection of tokenized US equities and ETFs.

The core idea is simple: bring traditional stock market exposure onto the blockchain, making it accessible, tradeable around the clock, and usable across multiple networks.

History & Background

Backed Finance launched the xStocks product line with an initial focus on the Solana blockchain, before expanding to BNB Chain, Ethereum, TON, and other networks. The multi-chain rollout was driven by the goal of reaching as many crypto users as possible — including Telegram users via the TON integration.

Kraken later reached an agreement to acquire Backed Finance, further cementing xStocks' position as a leading tokenized equity platform.

How Ondas xStock Works

Each ONDSx token is backed 1:1 by a real Ondas Inc. share, held in custody by a regulated third-party custodian. When a user acquires ONDSx, the corresponding share is held securely off-chain, and the token serves as the on-chain representation of that position.

Because ONDSx is issued using common token standards across multiple blockchains, it can be traded on decentralized exchanges (DEXs) and centralized platforms without the usual restrictions of traditional equity markets. Trading is available 24/7 in eligible geographies worldwide.

Tokenomics

ONDSx tokens are minted by Backed Finance when users purchase or redeem the underlying equity exposure. The token's value tracks the price of Ondas Inc. stock, since each token remains pegged 1:1 to a real share in custody.

Token distribution is driven by demand — new tokens are issued when new shares are purchased and custodied, and tokens are burned upon redemption. This model keeps the on-chain supply tightly aligned with actual equity holdings.

Ecosystem & Use Cases

• Equity exposure via crypto: Hold tokenized Ondas stock without a traditional brokerage account.
• DeFi integration: ONDSx can be traded on DEX platforms, enabling permissionless access to equity-like assets.
• Multi-chain accessibility: Deployments across Solana, Ethereum, BNB Chain, and TON expand reach to diverse user bases.
• Redemption: Users can redeem tokens for USD, stablecoins, or other crypto assets directly on supported platforms.

Team, Governance & Community

ONDSx is issued and managed by Backed Finance, a regulated entity focused on bringing real-world assets onto blockchains. Governance decisions — including which equities to tokenize and on which chains — are made by the Backed team. Following Kraken's acquisition of Backed, the product benefits from the infrastructure and user base of one of the largest global crypto exchanges.

Advantages

• 24/7 trading of an asset class traditionally limited to market hours.
• 1:1 custodied backing ensures each token corresponds to a real share held by a regulated party.
• Multi-chain availability dramatically increases accessibility for global users.
• DeFi composability allows ONDSx to be integrated into broader decentralized finance protocols.
• No brokerage account required to gain exposure to Ondas Inc. equity.

Risks & Challenges

• No shareholder rights: Holding ONDSx does not grant voting rights, dividends, or direct ownership of the underlying stock.
• Regulatory uncertainty: Tokenized equities operate in an evolving legal landscape that varies by jurisdiction.
• Custodian risk: The integrity of the 1:1 backing depends on the regulated custodian holding the underlying shares.
• Liquidity: Trading volumes for ONDSx remain relatively small compared to traditional equity markets.
• Geo-restrictions: Access to tokenized equities may be restricted in certain countries.

Long-Term Vision

ONDSx is part of a broader movement to bring traditional financial assets onto permissionless blockchains. Backed Finance's xStocks platform aims to democratize access to US equities for crypto-native users worldwide, removing geographic and institutional barriers. As multi-chain infrastructure matures and regulatory frameworks become clearer, tokenized stocks like ONDSx could become a mainstream bridge between traditional finance and decentralized markets.