Centrifuge 🎟️

The Leading Platform Driving the Tokenization of Real World Assets

Rebuild by Beeple

Centrifuge is a platform for onchain Real World Assets (RWA) that launched in 2021. Currently it is focused on private debt/credit and acts as a decentralized onchain protocol for investors and borrowers. Rather than creating digital twins of existing Real World Assets, it facilitates the issuance of new RWA directly onchain. It helps borrowers (issuers) finance real-world assets by accessing affordable DeFi capital without banks or other intermediaries. And it helps investors (institutions and DeFi Protocols) gain access (via pools) to a more diversified and stable junior and senior yield backed by productive assets from the real-world - invoices, real-estate, revenue-based financing, and more. Tokenization of RWA provides improved liquidity for investors and access to capital for issuers, democratizes access to investment opportunities, provides transparency for issuers and investors, lowers cost of capital for issuers and cost of access for investors by removing intermediaries, and provides robust security and compliance frameworks with protections for issuers and investors.

CFG is the native token of Centrifuge and is used for fees, staking, and governance. There are ~58M CFG in circulation with a current inflation rate of 4% per year. The inflation rate can be adjusted via governance and there is also a burn mechanic that can be implemented. The value of CFG is driven by the potential fees generated by Centrifuge which is driven by the demand for tokenization and trading of RWA.

Explain it to me like I’m 5 years old…Centrifuge is like a digital playground where adults can share and invest in real-world things, like houses or business deals, without needing a bank. They turn these things into special digital tokens that people can buy and trade. Centrifuge has its own special token called CFG, which is like a golden ticket to use this playground. It's growing fast, making these tokens possibly more valuable in the future, especially with exciting new partnerships and more people getting interested in this new way of sharing and investing.

In addition to my investment thesis and near-term catalysts (detailed below), check out these X threads for more information: 1, 2, 3, 4, 5, 6, 7.

CFG can be purchased on most decentralized exchanges.