Centrifuge hits $1B TVL as tokenized RWA adoption surges 94% in two weeks

Blockchain infrastructure firm Centrifuge has crossed the $1 billion total value locked (TVL) threshold, a landmark for the tokenized real-world asset (RWA) sector. As one of the few platforms in the RWA space to achieve this milestone—alongside BlackRock’s BUIDL fund and Ondo Finance—the firm is experiencing a surge in institutional adoption, driven by a shift from pilot projects to full-scale deployments [1]. Bhaji Illuminati, Centrifuge’s CEO, attributed the growth to heightened demand from on-chain allocators seeking yield beyond traditional risk-free assets [2].

One of the key products fueling this demand is JAAA, a tokenized version of a AAA-rated collateralized loan obligation (CLO) fund from Janus Henderson. Illuminati emphasized that JAAA is the fastest-growing tokenized fund in its category, with US Treasurys still serving as the primary entry point for institutional capital. He also noted rising interest in private credit as a differentiator in the yield market, with more announcements expected in the near future [1].

Earlier this month, Centrifuge launched a tokenized S&P 500 product in partnership with S&P Dow Jones Indices, structured as a regulated professional fund in the British Virgin Islands. The product has generated strong demand in advance of its official rollout, supported by an anchor pool to ensure accessibility. Illuminati said that the S&P 500 offering marks the beginning of broader index-based tokenization, with plans to bring sector-specific and thematic indexes onto the blockchain in the coming months [2].

On the institutional side, Centrifuge is working with both traditional asset managers and blockchain-native firms through its RWA Launchpad. Stablecoins and yield products remain the largest buyers of tokenized assets, using them to establish a “yield floor” for their reserves. The platform’s TVL has grown nearly 94% over the past two weeks, driven by the adoption of products like JAAA and the continued migration of assets onto the Ethereum network [2].

Looking ahead, Illuminati expects public market RWAs such as Treasurys and equities to lead adoption in the short term due to their liquidity and familiarity. However, he believes the long-term potential lies in private markets, where blockchain can eliminate inefficiencies and unlock hidden value. S&P Dow Jones Indices is also in talks with major exchanges, custodians, and DeFi protocols to license and list tokenized versions of its benchmarks, aiming to enhance investor access and experience [2].

Centrifuge is also expanding access to retail investors through the deRWA initiative, which aims to integrate tokenized assets into major exchanges, wallets, and DeFi platforms. The term deRWA refers to tokenized RWAs designed for composability and liquidity within decentralized systems, further blurring the lines between traditional and digital finance.

The growing institutional appetite for tokenized assets is supported by broader industry optimism. A recent report from Boston Consulting Group and Ripple estimated that tokenized real-world assets could surpass $18 trillion by 2033, with a 53% compound annual growth rate [1]. While regulatory clarity remains a critical factor for long-term adoption, Centrifuge’s recent success suggests that market forces and technological readiness can drive progress even in the absence of full legal frameworks.

Source:

[1] Centrifuge tops $1B TVL as institutions drive tokenized RWA boom: CEO

https://cointelegraph.com/news/centrifuge-surpasses-1b-tvl-rwa-institutional-demand

[2] Centrifuge Surpasses $1 Billion in TVL as Broader RWA Heats Up

https://defiant.news/centrifuge-surpasses-1-billion-in-tvl-as-broader-rwa-heats-up