Centrifuge partners with Pharos to build on-chain distribution infrastructure for RWA assets

Centrifuge and Pharos are moving to build on-chain distribution infrastructure for real-world assets (RWA).

The two companies said on the 5th that, through the partnership, they will push ahead with building infrastructure that expands on-chain accessibility and usability of institutional-grade tokenized assets.

The collaboration focuses on building a framework in which institutional-grade assets such as tokenized U.S. Treasuries (JTRSY) and AAA-rated structured credit products (JAAA) do not remain at the issuance stage, but can be accessed, allocated and reused in an on-chain environment. The plan is to establish distribution and operating structures so that assets can be put to practical use in on-chain financial environments even after issuance.

Real-world assets (RWA) are a segment that enables traditional financial assets—such as U.S. Treasuries, structured credit products, private credit and cash-equivalent assets—to be issued more efficiently and held, transferred and used on blockchain-based rails, and it has recently drawn market attention.

However, as the market expands, the perception is also growing that simple asset tokenization alone makes it difficult to secure real-world utility. Even if tokenized assets exist on-chain, actual usage may be limited if access channels, distribution routes, execution infrastructure and liquidity conditions are lacking.

Accordingly, the center of competition is also shifting from sheer issuance volume to how effectively market participants can provide asset distribution structures, accessibility, executability and long-term utility.

The two companies stressed that "this partnership is an attempt to address these real-world usage issues." They added that "a wide range of participants—such as tokenization platforms, regulation-friendly networks, institutional custody services, on-chain credit protocols, and liquidity and distribution infrastructure providers—are rapidly emerging in the RWA market."

The ultimate goal of the partnership is to build an environment in which tokenized assets, even after issuance, can be accessed, allocated and utilized on top of on-chain financial infrastructure.

The two companies said, "As the RWA market matures, building infrastructure that enables assets to be used in practice will become more important than asset tokenization itself," adding, "Through this partnership, we will expand the on-chain usage environment for institutional-grade assets."

Meanwhile, Upbit, South Korea’s largest exchange, recently began supporting trading for CFG, Centrifuge’s governance token. Centrifuge plans to use this as a basis to expand access and awareness for RWA infrastructure-related projects in the Korean market.