Grove, a credit protocol in the Sky (formerly MakerDAO) ecosystem, is expanding to the Avalanche (AVAX) network with plans to allocate up to $250 million into tokenized credit products, the companies said Monday.
Grove will invest in the Janus Henderson Anemoy AAA CLO Fund (JAAA) issued through Centrifuge, a blockchain platform that specializes on tokenization. Janus Henderson manages $373 billion in assets, making it one of the largest traditional finance entrances into Avalanche’s real-world asset (RWA) ecosystem. Centrifuge also introduces the Janus Henderson Anemoy Treasury Fund (JTRSY), a token backed by U.S. Treasury assets.
The move fits into the rapidly growing tokenization trend, placing traditional assets like credit, bonds and funds on blockchain rails. Grove Labs co-founder Mark Phillips said that combining Grove’s programmable capital tools with Avalanche’s throughput and Centrifuge’s tokenization infrastructure “lays the foundation for a new era of scalable onchain credit markets.”
Avalanche has been courting institutional adoption for tokenized assets. Earlier this year, the network was used to tokenize $240 billion worth of property deeds in a New Jersey county.
Grove’s team includes alumni from Deloitte, Citigroup and BlockTower and previously helped MakerDAO expand into tokenized Treasuries. The protocol aims to replicate that model for structured credit, creating programmable access to multi-trillion-dollar markets for both crypto-native and traditional investors.
Read more: Newest ‘Star’ in Sky Ecosystem Launches With $1B Tokenized Credit Strategy