- SingularityDAO and Cogito Finance are partnering to integrate tokenized Real World Assets into AI-driven decentralized finance products.
- Cogito offers tokenized U.S. Treasury Bills, green bonds, and tech-focused assets, providing secure and diverse investment options.
SingularityDAO, a decentralized portfolio management protocol, has partnered with Cogito Finance to incorporate Real World Assets (RWA) into its AI-powered v2 DynaVaults. This collaboration aims to bridge decentralized finance (DeFi) and traditional finance (TradFi) by creating compliant and innovative onchain financial products.
According to information shared with Crypto News Flash, Cogito Finance is leveraging its experience in tokenizing RWAs and minting them as ERC-20 tokens on Ethereum side chains such as Optimism, Arbitrum, Base, and Polygon. Every token is fully collateralized at a 1:1 ratio with the underlying asset, thereby eliminating ambiguity in the token-to-asset ratio. Daily metrics, such as the Net Asset Value (NAV), are recorded on the blockchain while all transactions occur off-chain. The integration provides users with a convenient dashboard for monitoring the performance of the portfolio in real time.
The partnership strengthens SingularityDAO’s AI-based portfolio management protocol as it gains exposure to tokenized RWAs. It merges DeFi with traditional asset security to offer a complete digital asset management solution. As tokenization becomes one of the leading sectors in DeFi, experts believe that RWAs hold great promise, positioning it as an underestimated growth area.
TFUND and GFUND Provide Low-Risk and Sustainable Options
Cogito Finance’s TFUND offers tokenized U. S. Treasury Bills for investment with low risk, high liquidity, and maturity of 0-3 months. This product is complemented by GFUND, which is dedicated to green bonds targeting environmentally friendly projects and responding to the growing need for sustainable financing. Additionally, XFUND provides investment in sectors with high growth potential, like technology and artificial intelligence, to ensure diversification of the portfolio.
Integrating these products into SingularityDAO’s v2 DynaVaults allows investors to diversify their portfolios and get high-quality returns with minimal risks. This partnership is in line with DeFi’s trend of integrating traditional financial assets to offer decentralized finance solutions.
Collaboration Aims to Make Finance More Accessible
Mario Casiraghi, the Executive of the ASA and the Co-Founder of SingularityDAO, also noted that this partnership with Cogito Finance only strengthens their objective of making finance more accessible. Both companies are looking to merge traditional financial services with decentralized financial services to give users new opportunities in the Web 3. 0 environment. Casiraghi also highlighted Cogito’s RWA framework as a key factor in delivering a more comprehensive financial solution to end users.
This partnership between SingularityDAO’s AI-based asset management and Cogito Finance’s tokenized RWA solutions aims at providing institutional quality investment products to blockchain investors.
According to Cloris Chen, the CEO of Cogito Finance, the integration helps to leverage the best of both worlds and provides institutional quality, low risk investment opportunities. SingularityDAO’s AI-driven portfolio management vaults, which leverage several sophisticated algorithms, aim to generate high-quality yield while mitigating credit and counterparty risks.
