Coinbase Names Centrifuge Lead Tokenization Partner on Base

Coinbase has named Centrifuge as the lead tokenization partner for Base and increased its stake in the protocol. Under the partnership, Centrifuge will develop tokenization tooling, integrations and standards that enable institutions and developers to mint, manage and transfer tokenized real-world assets on Base, Coinbase's Ethereum Layer 2 network.

Centrifuge is a blockchain protocol that converts real-world assets such as invoices and receivables into tokens that can be used in decentralized finance. Running on Base offers faster settlement and lower fees than transacting on Ethereum mainnet.

Coinbase's added investment accompanies the partnership and is meant to deepen collaboration on product and protocol work for tokenized assets. Planned work includes technical standards for asset verification, on-chain representation of ownership rights, custody integrations and interoperability with existing DeFi primitives.

Centrifuge's platform includes credit and financing functions that pair tokenized assets with liquidity protocols. On Base, those functions can operate with lower gas costs and integrate with Coinbase's wallet and custody services, which may make it easier for institutional issuers to use the network for settlement.

Coinbase described the agreement as aimed at providing infrastructure for asset issuers, lenders and market makers to mint and move tokenized claims on-chain. The firms will work with Base developer channels to align tooling and prioritize audited contracts and marketplace integrations for tokenized assets.