# OUSG Stablecoin Explained

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**Publisher:** Decentralized Finance Publication (https://decentralized-finance.io)
**Author:** Decentralized Finance editorial team
**Reviewed by:** Kaiser Khan, Editor in Chief
**Category:** Stablecoins
**Updated:** Apr 23, 2026
**Trust:** Independent, ad-free editorial research. No display advertisements, no paid protocol coverage, no affiliate-driven rankings.

## Summary

OUSG is a tokenized U.S. Treasury bill product created by Ondo Finance that enables investors to obtain exposure to short-term government securities via blockchain. It integrates with the Ondo Finance ecosystem to deliver consistent yield opportunities through digital tokens.

Ondo USD Governance (OUSG) is a tokenized fund focused on U.S. Treasury bills and was established by Nathan Allman, founder and CEO of Ondo Finance. The product grants investors direct access to short-term U.S. government debt instruments via blockchain technology, enabling participation in Treasury yields through token-based mechanisms.

## Overview

OUSG functions as a connection point between conventional financial markets and decentralized finance, permitting investors to secure positions in U.S. Treasury bills using blockchain-backed tokens. Operating under Ondo Finance's oversight, the platform aims to democratize access to institutional-quality financial products through blockchain infrastructure.

The offering merges time-tested financial assets with contemporary blockchain systems, enabling participants to transfer stablecoins or fiat currency in exchange for tokens reflecting their ownership stake in a Treasury bill holding. This arrangement facilitates streamlined access to government debt instruments while preserving blockchain advantages including composability and compatibility with decentralized applications. OUSG operates across Ethereum, Polygon, and Solana networks.

During June 2025, Ondo Finance broadened OUSG availability to include the XRP Ledger as the fourth integrated blockchain network. On XRPL, participants have the ability to create and burn OUSG tokens using RLUSD, Ripple's stablecoin pegged to the U.S. dollar, offering round-the-clock access to short-term U.S. Treasuries for institutional participants on that network. The deployment capitalizes on XRPL's rapid settlement infrastructure and continuous trading capability.

## Key Features

OUSG vs rOUSG

- 24/7 Instant Minting & Redemption: Token creation and retirement are available continuously using USDC or PYUSD, with generated tokens transferred immediately to the requesting address. Daily transaction caps exist according to network limits, with expectations to increase these thresholds progressively.
- Accessible Entry Points: Instant transactions start at $5,000. Conventional transactions specify a $100,000 starting amount for purchases and $50,000 baseline for sales.
- Two-Token Construction:
- OUSG (Accumulating): Price appreciates progressively as earnings compound.
- rOUSG (Rebasing): Maintains consistent $1 valuation, with earnings delivered via automatic growth in token quantity distributed.
- Automatic Daily Rebasing: rOUSG rebasing activates automatically upon each weekday OUSG price adjustment.
- Earnings Distribution Structure:
- OUSG: Gains accumulate via progressive price appreciation.
- rOUSG: Price stays at fixed $1.00, earnings flow through automatic token quantity expansion (rebasing).
- Token Behavior Example:

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