The decentralized finance protocol Grove has received a $1 billion grant to advance its RWA business

ChainCatcher news, according to Coindesk, the decentralized finance protocol Grove officially launched this Wednesday, focusing on building institutional-grade credit infrastructure, and announced a strategic investment commitment of $1 billion in tokenized assets. DeFi lending giant Sky will allocate $1 billion to the Grove protocol for investing in tokenized collateralized loan obligations (CLOs).

The protocol aims to bridge DeFi and traditional financial assets by bringing on-chain funds into regulated credit investments (with a focus on collateralized loan obligations CLOs). Grove's infrastructure allows crypto-native protocols and asset management companies to invest in real-world assets (RWA), thereby activating idle reserves and generating returns independent of the crypto market. The protocol is incubated by the DeFi specialist Steakhouse Financial, which played a key role in introducing RWA to the Sky ecosystem.