Protocol Fees and Costs

Centrifuge Governance
1

can we request an update on the following?

  1. annual operating expenses. are they less than protocol fees? what are the run rate expenses for 2026?
  2. visibility on offsetting inflationary token issuance or releases of tokens with buybacks and eventually a burn mechanism for reducing the supply of tokens
  3. plan for tokenized single stocks if any
  4. what differentiates CFG from ONDO and other competitors
  5. When will US investors be able to buy into the pools?
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2

Hi @jagx7
Thank you for the thoughtful questions.

  1. Annual operating expenses / 2026 run rate

We don’t currently publish a detailed breakdown of operating expenses or a 2026 run-rate forecast. What is public is protocol fee performance, which you can track here: Inside Centrifuge | Updates, Roadmap and Live Metrics
You can also watch a Quarterly call there as well. Same link.
2. Buybacks / burn mechanism
There isn’t a buyback or burn mechanism implemented today. Now that protocol fees have started accruing, we can evaluate options and tradeoffs (buybacks vs. other uses of fees). Any mechanism like this would require deep research.
3. Tokenized single stocks
Nothing to announce at the moment. If single stocks become part of the roadmap, we’ll communicate it through official channels.
4. What differentiates CFG vs. ONDO and others
There are two components. Superstate and Ondo are very focused on a single segment: tokenized equities. Centrifuge also offers tokenized equities with an SEC license, but we go far beyond that. We have funds, ETFs, indexes, and white‑label solutions.

The second layer of diversification is that we are not aiming to become an asset manager in the long term. We are asset‑agnostic and issuer‑agnostic. We are building the infrastructure that anyone can use.
Centrifuge is infrastructure/rails for tokenized financial assets across multiple issuers and asset types (not a single issuer’s product suite. Asset agnostic, issuer agnostic ).
5. When can US investors buy into the pools?
Today, pools are not available to US persons. If and when issuers structure offerings that can include US investors, we’ll share that update publicly.

4

Thanks for the reply. Pyth looks like a solid case study for buyback mechanics. They only have a 1M ARR run rate (targeting $50M near term) and already have implemented a coded buyback mechanism at 33% of ARR. I like burning tokens vs yield when the disparity between price and value is so large. The low token price of CFG does have an impact on the perception of growth and risk. So even though it shouldn’t matter, there is a positive reinforcing factor when the token price aligns better with the cash flow and growth prospects which today appears to be far apart (EG the fundamentals appear to justify a materially higher token price such that burning tokens would be beneficial to everyone). Seems like an easy decision to buy & burn when on track for $15M ARR and a market cap of less than $150M-$200M.

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