TREE NEWS update: Centrifuge has released a governance proposal to explore converting its CFG tokens into equity, potentially aligning token holders with the company’s financial structure. This move could bridge the gap between DeFi and traditional finance, marking a significant step in RWA tokenization.
Centrifuge Proposes Converting CFG Tokens to Equity
The interesting tension here is structural: a token that has functioned as a governance and network asset would, under this proposal, sit closer to a claim on the company itself, which is a different kind of exposure than most DeFi holders signed up for. It also raises a question the RWA sector has largely avoided — whether token-based and equity-based ownership can coexist without one diluting the other. Whether the proposal advances past exploration, and how existing CFG holders are treated in any conversion, is the open question.
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