Investment of $15M enables Centrifuge to digitize tangible assets for on-blockchain transactions
Centrifuge, a leading real-world asset (RWA) tokenisation platform, has recently announced the completion of a $15 million Series A funding round. The round was co-led by ParaFi Capital and Greenfield, with additional participation from Grove, a credit infrastructure protocol within the Sky Ecosystem, Circle Ventures, IOSG Ventures, Arrington Capital, the Spartan Group, and Wintermute Ventures.
The funding will be utilised to further develop Centrifuge's platform, which is built on Coinbase's Base network's layer-2 platform. Centrifuge Pools, the decentralised lending market at the heart of the platform, aims to deliver decentralised finance to institutions, enabling users to hedge, speculate, borrow, or service liquidity needs with or on real-world assets.
Centrifuge's platform is powered by the CFG token and is governed by the Centrifuge DAO, the organisation's decentralized community. The platform leverages Coinbase's Ethereum-based L2's know-your-customer system to accelerate user onboarding, ensuring a seamless and compliant experience.
According to the Centrifuge website, the platform currently has 1,438 tokenised assets worth $561 million in financed assets. The platform is designed to deliver utility on-chain equivalent to what treasuries have in the traditional financial ecosystem.
In a statement, Centrifuge's CEO, Michael Vogelsang, emphasised the company's commitment to building a platform within a legal structure to ensure compliance with regulations amid U.S. regulatory authorities' crackdown on non-compliant crypto organisations.
The fundraising occurred just a day after Homium, a home equity securitisation platform built on Avalanche, raised $10 million in a Series A round. The growing number of platforms looking to tokenise real-world assets is happening ahead of the Bitcoin halving event on April 19.
Centrifuge's Series A funding round was supported by Grove, a credit infrastructure protocol within the Sky Ecosystem, which provided an anchor investment of 50 million USD for the round. This significant investment underscores the potential of the RWA tokenisation market and Centrifuge's position as a key player in this space.
With the successful completion of the Series A funding round, Centrifuge is well-positioned to continue its mission of delivering decentralised finance to institutions, while ensuring regulatory compliance and offering a seamless user experience.
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