Overview RWA tokens represent claims on real-world assets held by custodians. Understanding the custody chain is essential for assessing the security of RWA collateral.
Custody Architecture ┌─────────────────────────────────────────────────────────┐ │ User Wallet │ │ (holds RWA tokens) │ └─────────────────────────────────────────────────────────┘ │ ▼ ┌─────────────────────────────────────────────────────────┐ │ Centuari Collateral Manager │ │ (smart contract holds tokens during loan) │ └─────────────────────────────────────────────────────────┘ │ ▼ ┌─────────────────────────────────────────────────────────┐ │ RWA Token Contract │ │ (e.g., AAPL.t from Backed) │ └─────────────────────────────────────────────────────────┘ │ ▼ ┌─────────────────────────────────────────────────────────┐ │ Token Issuer │ │ (Backed, Ondo, Paxos, etc.) │ └─────────────────────────────────────────────────────────┘ │ ▼ ┌─────────────────────────────────────────────────────────┐ │ Qualified Custodian │ │ (Interactive Brokers, Bank of New York, etc.) │ └─────────────────────────────────────────────────────────┘ │ ▼ ┌─────────────────────────────────────────────────────────┐ │ Underlying Asset │ │ (Apple stock, gold bars, T-bills) │ └─────────────────────────────────────────────────────────┘
Approved Custodians Backed Assets Component Provider Details Primary Custodian Interactive Brokers SEC-registered broker-dealer Administrator Backed Assets GmbH Swiss regulated Audit Grant Thornton Monthly attestations
Security Features :
Segregated client accounts
SIPC insurance (up to $500k per account)
Regular third-party audits
Ondo Finance Component Provider Details Primary Custodian Clear Street Prime brokerage Fund Administrator NAV Consulting Daily NAV calculation Audit Big 4 firm Quarterly audits
Security Features :
Bankruptcy-remote structure
US Treasury direct holdings
Institutional-grade custody
Paxos Component Provider Details Primary Custodian Brink’s London Good Delivery vaults Administrator Paxos Trust NYDFS regulated Audit WithumSmith+Brown Monthly attestations
Security Features :
Physical gold bars (numbered, serialized)
Multiple vault locations
Full insurance coverage
Due Diligence Process Before approving an RWA token, Centuari verifies:
Legal Review
Corporate structure
Regulatory licenses
Terms of service
Redemption rights
Custody Verification
Custodian identity and regulation
Segregation of assets
Insurance coverage
Bankruptcy remoteness
Operational Review
Minting/redemption process
Price feed sources
Incident history
Disaster recovery
Technical Audit
Smart contract security
Admin key management
Upgrade mechanisms
Oracle integration
Redemption Flow If needed, RWA tokens can be redeemed for underlying assets:
Backed (Stocks)
Ondo (Treasuries)
Paxos (Gold)
Initiate Redemption
User requests redemption through Backed portal
Issuer KYC
Must pass Backed’s KYC requirements (this is the issuer’s process, not Centuari’s)
Token Burn
Tokens burned on-chain
Stock Transfer
Underlying shares transferred to user’s brokerage
Settlement
T+2 settlement for US equities
Timeline : 3-5 business days
Minimum : $10,000 equivalent
Fees : ~0.5% redemption fee
Redemption Request
Submit through Ondo portal
Verification
Accredited investor status confirmed
Token Burn
USDY/OUSG tokens burned
Wire Transfer
USD wired to user’s bank account
Timeline : 1-2 business days
Minimum : $5,000
Fees : None for standard redemptions
Choose Redemption Type
USD or physical gold
Initiate Request
Through Paxos portal
Token Burn
PAXG tokens burned
Settlement
USD wire or gold delivery arranged
Timeline : 1-3 business days (USD), weeks (physical)
Minimum : $1,000 (USD), 1 oz (physical)
Fees : Variable based on methodCentuari’s Role Centuari does not custody underlying assets. Our role:
We Do We Don’t Hold RWA tokens as collateral Hold underlying stocks/bonds/gold Verify custodian quality Provide custody services Monitor issuer health Guarantee issuer solvency Enable liquidation of tokens Redeem underlying directly
Risk Mitigation Issuer Failure If an RWA token issuer becomes insolvent:
Bankruptcy-Remote Structure : Most issuers use SPVs that protect assetsPriority Claims : Token holders have priority claim on underlyingProtocol Response : Asset immediately removed from collateral listInsurance : Protocol insurance fund covers shortfall
Custody Failure If a custodian fails:
Segregated Accounts : User assets not commingled with custodian assetsInsurance Coverage : SIPC (securities), Lloyd’s (gold)Recovery Process : Coordinated through issuer
Oracle Manipulation Price feed attacks are mitigated by:
Multiple Sources : Chainlink aggregates multiple data providersDeviation Limits : Large single-block moves rejectedTWAP Fallback : Time-weighted average resists manipulationCircuit Breakers : Trading halted on extreme moves
Monitoring & Alerts Centuari continuously monitors custody health:
Metric Frequency Alert Threshold Attestation Publication Daily >7 days late Reserve Ratio Real-time <100% Redemption Delays Daily >2x normal Custodian Credit Rating Monthly Downgrade
Recent Incidents Transparency: We report any custody-related incidents affecting supported assets.
Date Asset Incident Impact Resolution None - - - -
No incidents to report for currently supported assets. Integration Requirements For new RWA token issuers seeking integration:
Technical Requirements Legal Requirements Operational Requirements
Partner With Us RWA token issuers interested in integration can contact our partnerships team
