Centrifuge Faces Debt Crisis, Registers $5.8m in Unpaid Loans

Centrifuge, a decentralized protocol operating as a lender, is reportedly facing a liquidity crunch, with collateralized loans amounting to roughly $5.8 million being tracked off as the platform's debt. While Centrifuge describes itself as an on-chain ecosystem for structured credit with direct collateralization from real-world assets, data from blockchain credit analytics platform Real-World Assets Dashboard (RWA.xyz) reveals a rather distressing signal: the debts on Centrifuge's platform have piled up, with assets including consumer loans, invoices, and trade receivables financing.

Timeline of Centrifuge

Fintech investment firm 1754 Finance, the originator of the debt pool with the most distressed loans, said it is liquidating the assets off-chain and negotiating with borrowers for repayments.

Centrifuge has raised $4 million in a strategic round from investors including Coinbase Ventures and BlockTower.  The post DeFi protocol Centrifuge raises $4 million in strategic round: Exclusive appeared first on The Block.

Centrifuge, a decentralized asset financing protocol that seeks to bring DeFi to the real world, has launched a cross-chain solution dubbed “Centrifuge Connectors” to help advance this reality across the more DeFi protocols. Centrifuge Connectors enables interconnectedness between the Real-World Asset (RWA) market and decentralized finance, allowing for seamless access to liquidity for investors and The post Centrifuge launches “Centrifuge Connectors” to bridge Real-World Asset market and DeFi appeared first on Invezz.

Centrifuge has partnered with Avalanche, Moonbeam, and Nomad, to launch a cross-chain solution dubbed ‘Centrifuge Connectors.' Connectors bridge the gap between the Real-World Asset (RWA) market and DeFi, enabling lenders and borrowers to access liquidity from multiple decentralized finance protocols…