OnRe, the on-chain reinsurance company, has rolled out ONyc, the next iteration of its flagship digital asset platform, ONe.
The new product introduces a multi-collateral model aimed at supporting reinsurance underwriting at scale and enabling stablecoins to serve as active, yield-generating collateral for real-world assets (RWAs).
ONyc targets a 16% base yield, sourced from reinsurance performance that OnRe characterizes as remaining independent of market cycles. This base yield is supplemented by returns generated from collateral assets.
“Stablecoins dominated payments volume and paved the way for tokenized treasuries,” said Ayyan Rahman (pictured above), co-founder and chief growth officer at OnRe. “Now, they’re ready to move past passive balances to become reliable funding tools for real-world finance.”
The first collateral asset integrated into ONyc is sUSDe, made available through a partnership with Ethena. According to OnRe, sUSDe offers yield transparency through real-time on-chain verification, providing visibility into performance and supporting trust in the product and its infrastructure.
ONyc’s development is aligned with regulatory shifts following the passage of the Genius Act, which facilitates the use of stablecoins as core collateral in underwriting practices. OnRe said it has collaborated with regulatory bodies to formalize underwriting approaches tied to widely adopted digital assets.
OnRe operates under regulatory oversight provided by the Bermuda Monetary Authority (BMA), holding approvals under the Digital Asset Business Act (DABA) and the Insurance Act.
As for the ONyc product, it builds on the structure established by ONe, OnRe’s original tokenized yield instrument. That product projected returns of up to 40.35%, which were composed of three components: reinsurance premium income, yield from collateral assets such as sUSDe, and liquidity incentives provided through protocol participation.
In developing ONyc, OnRe partnered with Ethena, Solana Ventures, and RockawayX, a trio of collaborators from the digital asset and venture capital sectors.
OnRe also emphasizes its capital efficiency. The firm has reported that it can generate the same revenue from US$10 million in total value locked (TVL) as a US$500 million money market fund would require, due to the structure of reinsurance premiums and collateral yield. This dynamic supports the company’s strategy of achieving scalability while maintaining lean capital inputs.
The launch of ONyc coincides with broader growth in tokenized private credit markets, where institutional interest is increasing. Recent analysis from RedStone indicates that institutional allocators are exploring on-chain credit due to its combination of transparent yield profiles and regulated collateral structures.
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