Centrifuge Raises $15M for DeFi Solutions

Centrifuge, a real-world asset (RWA) protocol, secured a $15 million Series A funding round led by ParaFi Capital, Greenfield, and others.

Real-world asset (RWA) protocol Centrifuge launched a $15 million Series A funding round with the goal of promoting the widespread use of institutional decentralized finance (DeFi) solutions. Venture capital firms ParaFi Capital and Greenfield spearheaded the investment, with additional support from Circle Ventures, IOSG Ventures, Arrington Capital, Spartan Group, and Wintermute Ventures.

Centrifuge makes it easier to tokenize RWAs. Investors can access a wide range of assets through this platform, improving transparency and providing a more in-depth understanding of their investment portfolios. Asset managers can also tokenize their money, which makes it easier for investors and other key service providers to access it. This expedited procedure lowers fund operation expenses and creates opportunities to obtain new funding sources.

The company plans to focus on expanding its recently unveiled on-chain fund management platform with the additional cash. This platform simplifies the integration of credit funds into public blockchains, allowing for more efficient fund management. By creating more integrations for lending, borrowing, and investing in RWAs, the company also intends to increase the scope of its services. To hasten the platform’s uptake, Centrifuge will also encourage the growth of its ecosystem and hire fresh personnel.

Outlining its upcoming plans, Centrifuge wants to create a platform for RWAs to access institutional-grade loans. Centrifuge plans to connect this marketplace with Coinbase Verifications, a Know Your Customer (KYC) service, and build it on Base, the Ethereum Layer 2 platform that Coinbase, a cryptocurrency exchange, is currently incubating. Thanks to these linkages, institutions will be able to onboard RWAs quickly and securely.

Centrifuge thanked its fans who share its mission of improving the blockchain-based financial system in a statement on the social networking platform X. In the future, the group is getting more and more excited about its goal of developing a financial system that is inclusive, equitable, and efficient for everyone.

Since 2017, Centrifuge has led the way in transforming on-chain finance

Since its founding in 2017, Centrifuge has accomplished a number of noteworthy milestones. These include helping MakerDAO mint its first RWA, arranging the first on-chain securitization, launching the RWA Market with Aave, and working with BlockTower to move the first credit fund’s operations to the blockchain.

In 2022, the business raised $4 million in a strategic funding round from investors including L1 Digital, Coinbase Ventures, BlockTower, and Scytale. This was the final amount of funding the company had. This funding round came after the company’s year-long succession of prior funding rounds and key partnerships.