Real-World Asset Soars on Celo as Centrifuge Facilitates Historic Transaction

Centrifuge, a platform for on-chain finance focusing on tokenized real-world assets, has announced the first RWA transaction on the Celo network. The Celo ecosystem allocated $1 million in US Treasuries on Centrifuge, with the investment directed towards the Anemoy Liquid Treasury Fund, managed by Web3 asset manager Anemoy. This marks Centrifuge's latest collaboration with Celo, following their integration through the Axelar cross-chain interoperability protocol.

Centrifuge Facilitates Inaugural Real-World Asset (RWA) Transaction on Celo Blockchain

New York, March 29, 2024 - Centrifuge, a pioneering platform for on-chain finance in the tokenized real-world asset (RWA) ecosystem, has announced the completion of its first RWA transaction on the Celo blockchain.

This significant milestone marks a major step forward in the tokenization of real-world assets, providing investors with increased access to a broader range of investment opportunities.

Celo Ecosystem Allocates $1 Million in US Treasuries on Centrifuge

According to a blog post published by Centrifuge on March 29, the Celo ecosystem has allocated $1 million in US Treasuries on the Centrifuge platform. This investment was channeled into the Anemoy Liquid Treasury Fund, managed by Anemoy, a leading Web3-native asset manager.

The Anemoy Liquid Treasury Fund is a British Virgin Islands (BVI) licensed US Treasury fund that has garnered significant investor interest in recent months due to its low-risk yield potential.

"The Celo ecosystem recognizes Centrifuge as a strategic partner in our pursuit of onboarding additional asset classes, such as private credit, which Centrifuge has a proven track record of bringing on-chain in a secure and compliant manner," stated Alex Witt, representative of the Celo ecosystem.

Tokenization Craze Fuels Demand for RWA Tokens

The integration of Centrifuge with Celo, an EVM-compatible blockchain, has paved the way for today's announcement. The partnership was established in January 2024, leveraging the Axelar cross-chain interoperability protocol.

The broader market demand for tokenized Treasury bills, carbon credit pools, and other assets has received a significant boost in recent weeks, particularly following the entry of BlackRock into the RWA space. The asset management giant unveiled its tokenized digital asset fund, BlackRock USD Institutional Digital Liquidity Fund (BUIDL), which has attracted substantial investment since its launch.

Financial services behemoth HSBC has also made its foray into the tokenized assets arena, launching tokenized gold tokens this week.

Amidst this increasing adoption, the crypto RWA market has witnessed a notable surge in the value of related tokens. Ondo (ONDO) experienced a rally following the debut of BlackRock's BUIDL fund, while Polymesh (POLYX) and Pendle (PENDLE) have also seen significant gains in recent weeks.

Centrifuge Token (CFG) Performance

Despite a recent pullback of over 8% in the past 24 hours, Centrifuge (CFG) has maintained a notable appreciation of approximately 40% over the past 30 days. Notably, the CFG token recently reached highs of $1.10, representing an increase of over 500% since its lows in January 2023.

Conclusion

The advent of tokenized real-world assets on the Celo blockchain through Centrifuge is a watershed moment for the financial industry. It provides investors with unprecedented access to a wider range of investment opportunities, from traditional assets like US Treasuries to alternative asset classes. As the tokenization craze continues, it is anticipated that the crypto RWA market will play an increasingly prominent role in the global financial landscape.