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Cryptocurrency News Articles

SingularityDAO Partners With Cogito Finance to Bring Real World Assets (RWAs) to Its AI-Powered v2 DynaVaults

Sep 19, 2024 at 03:09 pm

This collaboration aims to bridge decentralized finance (DeFi) and traditional finance (TradFi) by creating compliant and innovative onchain financial products.

SingularityDAO Partners With Cogito Finance to Bring Real World Assets (RWAs) to Its AI-Powered v2 DynaVaults

SingularityDAO, a decentralized autonomous organization (DAO) focused on artificial intelligence (AI) in Web3, has joined forces with Cogito Finance, a leading provider of tokenized Real World Assets (RWAs) on Ethereum side chains. This collaboration will enable the integration of tokenized RWAs into SingularityDAO’s AI-powered v2 DynaVaults.

Together, they aim to bridge decentralized finance (DeFi) and traditional finance (TradFi) by creating compliant and innovative onchain financial products. Cogito Finance is known for its expertise in tokenizing RWAs and minting them as ERC-20 tokens on side chains like Optimism, Arbitrum, Base, and Polygon.

Each token is fully collateralized at a 1:1 ratio with the underlying asset, removing any ambiguity in the token-to-asset ratio. Daily metrics, such as the Net Asset Value (NAV), are recorded on the blockchain, while all transactions occur off-chain, providing a user-friendly dashboard for monitoring the portfolio’s performance in real time.

This partnership will strengthen SingularityDAO’s AI-based portfolio management protocol, offering a complete digital asset management solution. As tokenization emerges as one of the leading sectors in DeFi, RWAs hold great promise, making them an overlooked area for growth.

TFUND, GFUND, and XFUND: Diversifying Investment Options

Cogito Finance’s TFUND offers tokenized U.S. Treasury Bills for investment with low risk, high liquidity, and maturity of 0-3 months. This product is complemented by GFUND, which focuses on green bonds targeting environmentally friendly projects and responding to the growing need for sustainable financing.

Moreover, XFUND provides investment in sectors with high growth potential, such as technology and artificial intelligence, ensuring diversification of the portfolio. Integrating these products into SingularityDAO’s v2 DynaVaults will allow investors to diversify their portfolios and obtain high-quality returns with minimal risks.

This partnership aligns with DeFi’s trend of integrating traditional financial assets to offer decentralized finance solutions. Mario Casiraghi, Executive of the ASA and Co-Founder of SingularityDAO, expressed enthusiasm for the collaboration.

“Our partnership with Cogito Finance only strengthens our goal of making finance more accessible. Together, we aim to merge traditional financial services with decentralized financial services to provide users with new opportunities in the Web 3.0 landscape,” Casiraghi said, highlighting Cogito’s RWA framework in delivering a more comprehensive financial solution to end users.

This partnership between SingularityDAO’s AI-based asset management and Cogito Finance’s tokenized RWA solutions aims at providing institutional quality investment products to blockchain investors.

“This integration brings together the best of both worlds, offering institutional quality, low-risk investment opportunities,” said Cloris Chen, CEO of Cogito Finance. SingularityDAO’s AI-driven portfolio management vaults, which utilize several sophisticated algorithms, aim to generate high-quality yield while navigating credit and counterparty risks.

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