Financial Times: Avalanche Foundation plans to invest $1 billion to establish AVAX financial company in the US

According to the Financial Times of the UK on September 10, the Avalanche Foundation is planning to establish two Crypto Assets financial companies in the United States, with a total investment scale of up to $1 billion. This plan will be advanced through two significant transactions and is expected to be completed in the coming weeks, aiming to directly promote the market adoption and capital layout of AVAX. Following the news, the price of AVAX rose by over 10% within 24 hours, reporting at $29.11.

Two Major Trading Roadmaps

(Source: Financial Times)

According to informed sources, the Avalanche Foundation is in deep discussions with investors regarding two key transactions:

1. Crypto Assets Fund Management Company Investment Project:

Raising up to $500 million through a private investment in a public equity (PIPE) in a Nasdaq-listed company.

Led by Hivemind Capital, SkyBridge Capital founder Anthony Scaramucci serves as an advisor.

Expected to be completed by the end of September.

2. Special Purpose Acquisition Company (SPAC) Transaction

Sponsored by Dragonfly Capital, the same plan aims to raise $500 million.

Expected to be completed in October.

Funding Uses and AVAX Market Impact

Reports indicate that the two companies will use the raised funds to purchase millions of AVAX tokens, which the Avalanche Foundation will sell at a discounted price, injecting liquidity into the market and expanding the token holder base.

This strategy resonates with the recent trend of corporate digital asset vaults (DAT), especially against the backdrop of large companies transforming public companies into crypto asset holding platforms through "reverse mergers."

Industry Background and Capital Trends

Avalanche has recently been very active in the field of asset tokenization, including collaborating with institutions such as BlackRock, Apollo, and Wellington Management to test fund tokenization solutions.

This week, the shareholders of Nasdaq-listed company Asset Entities (ASST) have approved a merger with Vivek Ramaswamy's Strive Enterprises, transforming into a DAT focused on Bitcoin, demonstrating that the integration of traditional finance and Crypto Assets is accelerating.

AVAX price reaction

Stimulated by this news, AVAX has increased by 10.17% in the past 24 hours, reaching $29.11, a new high in recent months. Market analysis believes that if the two transactions are successfully completed, it will bring substantial buying support for AVAX and may push its price to challenge the $30 mark.

Conclusion

The Avalanche Foundation's $1 billion US financial company plan is not only a significant move in the capital markets, but it could also become a key catalyst for driving the AVAX ecosystem and tokenization applications. As the completion of the transaction approaches, the market will closely monitor the scale of capital inflows and the actual impact on AVAX prices.