Cogito Finance to launch fund that will put US Treasuries on the blockchain

Cogito Finance, a pioneer in blockchain-based financial solutions, today unveiled its latest product: TFUND. The new product aims to provide crypto-native investors and institutions with simplified access to US Treasuries using blockchain technology.

TFUND is designed to serve Web3 companies and institutional investors who seek to protect their assets from inflation by investing in low-risk, stable assets such as U.S. Treasuries. This initiative not only protects investments from the adverse effects of inflation, but also overcomes the obstacles of engaging in traditional banking systems, especially in regions less receptive to cryptocurrencies.

Additionally, TFUND offers competitive yields that align with prevailing Federal Reserve rates, generating increased interest among investors.

Beyond U.S. Treasuries, Cogito Finance Plans to Offer Green Bonds and AI-Powered Wallets

Cogito Finance has implemented rigorous security measures to protect the interests of investors and improve transparency within its fund. The company secures investor funds off-chain to mitigate smart contract risks, while providing additional security through KYC procedures that allow token transfers only to verified addresses. Additionally, Chainlink’s Proof of Reserves technology is used to offer daily updates on the fund’s net asset value, promoting greater investor confidence.

Cloris Chen, CEO of Cogito Finance, highlighted the significant impact of the entry of large financial entities like BlackRock into the securities tokenization space, seeing it as a strong affirmation of Cogito’s pioneering efforts in tokenizing Treasury funds American. Chen believes that the tokenization of traditional securities on public blockchains is a crucial evolutionary step for financial markets.

Looking ahead, Cogito Finance is exploring the expansion of other on-chain investment opportunities beyond U.S. Treasuries, including green bonds aimed at environmentally conscious and yield-seeking investors profitable. The company is also pursuing AI-driven portfolio management to take advantage of emerging opportunities within the sector.

Cogito’s broader mission is to connect traditional finance with blockchain technology, initiating TFUND as a step towards providing a wider range of diverse and secure investment options for the crypto community. This initiative is designed to enable institutions and investors to engage with the evolving landscape of finance.

Source: Cogito Finance official website.

Cogito Finance CEO’s Opinion on Fund Development, Crypto Regulations, and Current Market Trends

Cloris Chen, CEO of Cogito Finance, explained the motivations and strategies behind the development of TFUND, this new financial product tailored to the unique requirements of crypto-native investors. Unlike traditional financial solutions, TFUND offers an alternative to crypto companies whose treasury is mainly in stablecoins. Previously, these companies had limited options, mostly limited to cryptoassets or DeFi vaults to preserve their capital or improve their financial situation.

However, challenges such as unsustainable yield farming and regulatory uncertainty present significant risks, which are of concern to businesses seeking to minimize exposure to volatility. In contrast, traditional markets, especially Treasury bonds, offer a more stable and reliable investment option with a risk-free rate of around 5%, making them very attractive for Web3 companies.

When asked how TFUND would navigate the regulatory environment, Chen said TFUND is structured as a token security, ensuring full regulation and compliance under the Cayman Islands Monetary Authority. As a result, this compliance provides clearer regulatory guidance in relation to cryptocurrencies, particularly in jurisdictions that maintain a strict stance on cryptocurrencies.

Regarding market trends, Chen highlighted the importance of traditional tokenized financial assets, which are increasingly dominating the discourse around real-world assets (RWA) as a cash management solution. With the current changing market dynamics, Chen expects increasing interest from Web3 companies in tapping fixed income assets, particularly government debt. This trend aligns with the risk-averse nature of these companies and is central to TFUND’s strategic planning for the future.

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