Centrifuge (CFG) Soars Over 100% as Upbit Announces Listing

CFG, the native token of the decentralized finance (DeFi) lending protocol Centrifuge, has surged by over 100%. The crypto asset has emerged as a top gainer, increasing by roughly 102.4% in the past 24 hours.

Notably, this uptrend can be attributed to an Upbit listing announcement. Upbit is South Korea’s largest crypto exchange, founded in 2017.

CFG Price Surges Amid Market Turbulence

The digital asset is currently changing hands at $0.1711 at the time of writing. CFG has posted gains of 108.2% and 113.5% in the past week. Its 24-hour trading volume of over $90.637 million suggests increasing investor interest in the token. 

Despite the ongoing market turbulence that has affected crypto prices, causing early sell-offs and extreme fear, CFG has remarkably defied the trend. The digital asset has a market capitalization of more than $98.714 million. While its price continues to increase, the platform has a total supply of approximately 680 million CFG tokens and a circulating supply of over 576.795 million tokens.

CFG tokens are primarily used for network security (staking), transaction fees, and governance. However, Centrifuge allows companies to finance physical assets on-chain by converting items like invoices or property into DeFi-compatible assets.

In addition, the lending protocol operates within the Polkadot ecosystem for high speed and low transaction fees. It is also built on the Substrate framework. This framework is used to build customized blockchains that can run autonomously with forkless runtime upgrades.

Expanding DeFi Through Real-World Collateral

Centrifuge, launched in 2017 by Lucas Vogelsang, Maex Ament, and Martin Quensel, has become one of the key players in the on-chain private credit project. It is working with DeFi platforms like MakerDAO and Aave.

By tokenizing real-world assets such as government bonds, real estate, loans, contracts, and guarantees, the protocol offers stable returns backed by off-chain value. This helps to widen DeFi’s scope and connect it to traditional finance.

Furthermore, the platform enables small and medium-sized enterprises to obtain financing against real-world assets without bank intermediation. This lowers capital costs. It simultaneously offers DeFi investors a stable yield stream that is decoupled from crypto asset volatility.

Interestingly, the CFG token was officially launched in 2020, with its token generation event and initial listing on tracking platforms occurring around August 28, 2020, to power its RWA DeFi protocol. While its primary aim is to bring RWA onto the blockchain for liquidity, its major ICO sales occurred on May 31, 2021.

On-Chain Financing for Real-World Assets

Meanwhile, CFG holders use the token to vote on proposals that shape the protocol’s evolution, such as runtime upgrades. Following the V3 migration, CFG shifted to a native ERC-20 token on Ethereum, phasing out prior versions. With a 3% annual inflation directed to the DAO treasury, governance is moving from the legacy chain toward EVM-based infrastructure.

As one of the first and largest tokenization platforms, it connects traditional and on-chain capital markets, powering institutional strategies and DeFi integrations. CFG is the single value-accrual for Centrifuge.

Another significance of the lending protocol is that it enables companies to finance physical assets on-chain by converting assets such as invoices or property into DeFi-compatible assets. It helps businesses to tokenize assets into NFTs, creating on-chain collateral for loans, while offering investors stable, non-crypto-correlated returns.

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