Centrifugation, a real-world asset (RWA) tokenization platform, exceeded $1 billion in total value (TVL) locked on August 14th, for each Defillama data. Milestone TVL’s growth is driven by the growing institutional demand for tokenized assets on the chain and their JAAA funds.
This figure represents a surge of nearly 94% over two weeks, centrifuging along with only the other two RWA platforms. BlackRock’s USD Institutional Digital Liquitidity Fund (BUIDL) owns approximately $2.4 billion on-chain and ONDO finance.
Bhaji Illuminati, CEO of Centrifugal, told Defiant the jump comes from a number of factors from the institutions that scale reservation projects and Stablecoin publishers looking for preliminary control and yields.
The main driver is Jaaa, the fully on-chain version of Janus Henderson’s AAA rated CLO investment fund. Designed specifically for blockchain, Jaaa was launched with a billion dollar investment from Grove. Meanwhile, Jtrsy, the first tokenized fund for Janus Henderson’s centrifugation, has expanded to over $500 million in managed assets (AUM) within weeks, Defiant reported in June.
And on July 24th, Centrifuge announced the completion of its migration to the Ethereum Ecosystem with the launch of the Centrifuge V3. This latest version of centrifugality has shifted the protocol from Parachine on Ethereum Layer 2 Polka Dot to Multichine, Ethereum Virtual Machine (EVM) native protocol.
“The launch of JAAA, an AAA rated CLO fund that exceeds risk-free rates around 200 bps, has resonated as a natural next step for cryptocurrencies seeking expanded cash products.”
“Because we were in the space from the beginning of RWAS, centrifugation built deep trust with key Defi protocols and institutional players, and the transition to EVM with a growth-focused leadership team set the foundation for this milestone.”
The Illuminati explained that the credit strategies of diversified institutions such as the JAAA are driving the company’s fastest growth. “This shows a clear market demand for wider RWA exposure,” she said.
Tokenized RWA boom
Centrifuge’s milestones arise amid the growth of tokenized RWA, with the total chain value of tokenized assets rising 63% since January, reaching $25.6 billion today.
Total RWA value for chains. Source: Rwaxyz
Meanwhile, among the RWA protocols, centrifuges are currently the fifth largest in TVL, rising from 8th place just two months ago, per Defillama data.
“All key asset managers, banks and fintechs are currently tokenizing their strategic agenda, with a particularly strong interest from the US with a lucrative regulatory momentum,” the Illuminati said.
“Recognition has shifted from experimental tokenization to a critical part of future market structure. Institutions are increasingly aware that they are key to staying competitive in the upcoming wave of Onchain Capital Markets.”
