Centrifuge to Launch Institutional Lending Protocol on Coinbase's Layer-2 Network
Centrifuge is set to create an RWA lending protocol for institutions on Coinbase's Base, after raising $15 million in a successful funding round.
April 17, 2024
DeFi Platform's New Venture
Centrifuge, a decentralized finance (DeFi) platform, recently announced its strategy to develop an institutional real-world asset (RWA) lending protocol on Base, an Ethereum layer-2 solution by crypto exchange Coinbase. Their aim is to facilitate institutions in tokenizing and borrowing against their RWA holdings.
Venture Capital Boost
The innovative plans were revealed alongside the news of Centrifuge securing $15 million in a highly successful venture capital round led by ParaFi Capital and Greenfield, with several key firms participating. Following the announcement, CFG, Centrifuge's own token, experienced a significant price surge.
The Tokenization Trend
In the current climate where tokenization of traditional financial assets is becoming increasingly popular for its efficiency and transparency, Centrifuge stands out by specializing in structured credit products on the blockchain. With $270 million in active loans, they are at the leading edge of the RWA tokenization, which is predicted to expand phenomenally within the decade.
Subscribe to get the latest Crypto Updates
Sign up to receive regular updates packed with exciting news and exclusive insights into upcoming crypto projects.