Centrifuge weighs plan to swap CFG tokens for company equity
Regulation & Gov ยท
A governance proposal under discussion would let CFG holders convert their tokens into shares at a 1:1 ratio, alongside a restructuring of the project's foundation into a shareholder-based entity.
A post from Centrifuge's account describes the proposal as still in an exploratory phase, with governance participants weighing whether CFG token holders should be able to convert holdings directly into equity in the company - ๐/@centrifuge. A separate account of the same proposal describes the conversion ratio as one CFG token for one share, paired with a restructuring that would turn Centrifuge's foundation into a shareholder structure rather than the token-governed body it currently operates as.
The idea marks a departure from the standard model used by most protocol tokens, which typically confer governance or fee-sharing rights within a decentralized structure rather than a direct equity claim in an underlying company. Converting a governance token into equity would tie CFG's value more explicitly to the legal entity behind Centrifuge, a shift that touches on how the protocol is organized rather than on its product lineup.
Centrifuge operates as tokenization infrastructure for real-world assets, providing programmable vaults and a multi-chain architecture that let asset managers issue and distribute bonds, credit, and equity-index exposure onchain. The protocol reports more than 2 billion USD in tokenized assets, positioning it among the larger dedicated RWA infrastructure platforms within a broader tokenized-asset market that partner estimates put near 20 billion USD in aggregate. Recent partnerships in that ecosystem include Base's tokenized S&P 500 exposure built with Centrifuge, Kraken's custody support for a Centrifuge-tokenized Janus Henderson fund, Monad's integration of Centrifuge's deRWA wrappers for tokenized Treasuries and credit funds, and a tokenized high-yield bond fund launched with New York Life's asset-management arm.
What remains unresolved is whether the equity-conversion proposal will move from exploration to a formal governance vote, what legal and regulatory steps a foundation-to-shareholder restructuring would require, and how such a conversion would affect CFG's existing governance rights within Centrifuge's protocol. Neither the timeline for a vote nor the treatment of token holders who decline to convert has been detailed publicly.