Ano ang Centrifuge? (CFG)

Centrifuge CFG Ipinaliwanag

Centrifuge is a decentralized finance (DeFi) lending protocol that aims to make credit more accessible to small businesses, while also providing a stable yield for investors by opening pooled liquidity to the world of traditional finance.

Centrifuge’s associated decentralized application (dApp), Tinlake, is a marketplace for tokenized real-world assets. By minting Non-Fungible Tokens (NFTs) that represent verified real-world assets, companies can collect assets to use as collateral on their loans and quickly access more liquid funds which are provided by individual investors.

In return, investors can utilize traditional business lending methods to earn a more predictable reward on their investment and protect themselves from exposure to the unpredictable volatility of crypto markets.

Originally built as its own blockchain, Centrifuge is also compatible with parachains on Polkadot. Centrifuge has followed Ethereum standards while developing their NFT capabilities and the Tinlake protocol. In this way, Centrifuge bridges the Polkadot and Ethereum ecosystems, attempting to leverage the benefits each has to offer.

Centrifuge is powered by the Centrifuge token (CFG), which provides security to the blockchain while allowing holders to pay transaction fees, stake assets, and participate in Centrifuge’s governance.

what is centrifuge cfg logo

Sino ang Gumawa ng Centrifuge?

Ang Centrifuge ay co-founded ng isang German team na pinamumunuan ni CEO Lucas Vogelsang, na dating nagtatag ng e-commerce company na DeinDeal.

Bago ang Centrifuge, inilunsad ni Vogelsang at iba pang mga co-founder ang Taulia, isang FinTech provider ng mga working capital solution. Naglilingkod si Taulia sa mga customer sa higit sa 100 bansa, na nagbibigay ng mga serbisyo tulad ng electronic invoicing at supply chain financing. Nilalayon ng Centrifuge na buuin ang mga serbisyong ito sa loob ng arkitektura ng blockchain nito.

Sa pamamagitan ng limang round ng pagpopondo sa unang tatlong taon nito, ang Centrifuge ay nakalikom ng halos $12 milyon. Kasama sa mga mamumuhunan ang mga kumpanya tulad ng Galaxy Digital at IOSG Ventures. Ang isang CFG token sale na ginanap sa Coinlist noong Mayo 26, 2021 ay nakakita ng 17 milyong CFG token na naibenta sa halagang $19 milyon.

Paano gumagana ang Cetrifuge?

Centrifuge is built on Parity Substrate, a platform that allows for the creation of distributed blockchain systems on the Polkadot and Kusama networks. Centrifuge can therefore interact seamlessly with Polkadot once it becomes a parachain, benefiting from the consensus and security protocols of Polkadot’s Relay Chain. Until then, Centrifuge Chain acts as a standalone, proof-of-stake blockchain that conducts its transactions with CFG.

Centrifuge’s core product is Tinlake, an open marketplace and investment dApp built on Ethereum. Tinlake helps bring the traditional finance offering of collateralized loans onto the blockchain.

Traditionally, if a business wishes to gain additional working capital, they have to approach a wealthy private investor or submit a loan application to a large financial institution. However, small businesses rarely have access to the same financing opportunities as large businesses, despite low rates of default on their loans.

The easiest way to understand how Centrifuge utilizes DeFi to overcome these challenges is by exploring the issue from the perspective of the business and the investor:

Businesses

Tinlake allows businesses, referred to as asset originators on Tinlake, to tokenize their valuable real-world assets, such as mortgages and invoices. An NFT representation of each of those assets, called a tokenized document, is then committed to the blockchain, making both its authenticity and ownership verifiable. This tokenized asset can then be used as collateral for loans funded by the liquidity investors have deposited within Tinlake pools.

Investors

Investors, also known as lenders, are participants who lock stablecoins (such as DAI) in Tinlake pools to provide capital to businesses as loans. In return, investors earn a yield on the capital that has been provided to asset originator businesses. Investors can research asset originators before providing liquidity to their pools, in order to gain a clearer understanding of the quality of the business. Once an investor chooses a pool, they lock in their DAI and choose to receive either TIN or DROP tokens in return.

TIN offers investors higher risk and thus higher reward. Investors that choose to hold TIN accept the first risk of loss when a borrower defaults. However, TIN also provides higher, though more variable return on investment.

DROP tokens provide a lower but more stable yield. Investors who choose to receive DROP tokens have the benefit of “protection” that comes from the frontline TIN holders in each pool. Centrifuge describes the difference between TIN and DROP as the difference between junior and senior tranche investments seen in traditional finance.

Accrued interest in TIN or DROP can be redeemed at any time for DAI when an investor wants to remove their liquidity.

Bakit May Halaga Ang CFG?

Centrifuge’s CFG token has a variety of functions across the Centrifuge platform that give it value.

CFG is used to pay for transaction fees within the Centrifuge platform. Users pay CFG to node operators for minting NFTs used as collateral on Tinlake and verifying transactions.

CFG also serves as the token to access the platform’s governance mechanism. Governance tokens allow holders to vote on updates and changes to the platform, providing those with the most invested in the platform a voice on its future development. For example, the Centrifuge team has indicated that onchain governance will be used to decide protocol level functionality, such as what portion of the transaction fee will be burned for each transaction.