Avalanche Foundation Aims for $1 Billion to Launch AVAX Treasury Companies in 2025
- Why Is Avalanche Foundation Raising $1 Billion for AVAX Treasuries?
- How Is the $1 Billion Treasury Structure Designed?
- What’s Driving AVAX’s Market Momentum?
- How Does Avalanche’s Strategy Compare to Other Crypto Projects?
- What’s Next for Avalanche and AVAX?
- FAQs About Avalanche’s $1 Billion Treasury Plan
The Avalanche Foundation is making waves with its ambitious plan to raise $1 billion by launching two U.S.-based treasury companies dedicated to holding AVAX tokens. Despite recent dips in crypto treasury stocks, Avalanche is pushing forward, leveraging discounted AVAX purchases to fuel long-term growth. With AVAX prices up 17% weekly and Avalanche’s market cap surpassing $12 billion, this move could solidify its position in the corporate crypto shift. Here’s a deep dive into the strategy, structure, and market momentum behind this bold initiative.
Why Is Avalanche Foundation Raising $1 Billion for AVAX Treasuries?
The Avalanche Foundation, the nonprofit behind the Avalanche blockchain, is in advanced talks with investors to create two treasury companies aimed at holding AVAX tokens. This $1 billion initiative is designed to provide long-term stability and growth for the Avalanche network. The foundation plans to sell AVAX tokens at a discount to these companies, ensuring substantial holdings in publicly traded entities. This strategy mirrors the approach taken by other crypto projects, like Bitcoin’s MicroStrategy, to strengthen their balance sheets with digital assets.
How Is the $1 Billion Treasury Structure Designed?
The $1 billion plan is split into two $500 million deals:
- Deal 1: Structured by Hivemind Capital, this involves a Nasdaq-listed company and is expected to close by the end of September 2025. Anthony Scaramucci, a prominent crypto investor and former White House communications director, advised on this transaction.
- Deal 2: A $500 million special-purpose acquisition company (SPAC) backed by Dragonfly Capital, slated for completion in October 2025.
Both companies will purchase AVAX tokens at discounted rates directly from the Avalanche Foundation, locking in significant holdings to support the network’s long-term growth.
What’s Driving AVAX’s Market Momentum?
AVAX has seen impressive gains recently, with a 17% weekly increase and a 16% monthly rise, perdata. Despite a slight 1% dip in the last 24 hours, the token’s overall trajectory remains bullish. Avalanche’s market cap now exceeds $12 billion, reflecting strong investor confidence. Additionally, Santiment ranks Avalanche third in development activity among real-world asset projects, signaling robust technical progress.
How Does Avalanche’s Strategy Compare to Other Crypto Projects?
Avalanche’s treasury model draws inspiration from Bitcoin’s MicroStrategy, which pioneered corporate crypto holdings. ethereum and Solana have also seen token price boosts from similar treasury initiatives. By positioning AVAX as a core asset for corporate accumulation, Avalanche aims to replicate this success. The foundation’s capped supply of 720 million AVAX (with 420 million already circulating) adds scarcity value, further incentivizing long-term holding.
What’s Next for Avalanche and AVAX?
The foundation’s treasury push aligns with a broader trend of public companies embracing crypto assets. If successful, the $1 billion initiative could accelerate AVAX adoption and stabilize its market dynamics. Meanwhile, Avalanche continues to innovate, with its platform gaining traction in real-world asset tokenization. As of September 2025, the network’s growth metrics and developer activity suggest a bright future—assuming the treasury deals close as planned.
FAQs About Avalanche’s $1 Billion Treasury Plan
What is the Avalanche Foundation’s $1 billion plan?
The Avalanche Foundation aims to raise $1 billion by creating two U.S.-based treasury companies to hold AVAX tokens, ensuring long-term network support.
Who is advising on these deals?
Anthony Scaramucci advised on the Hivemind Capital deal, while Dragonfly Capital backs the SPAC transaction.
How has AVAX performed recently?
AVAX ROSE 17% weekly and 16% monthly, with a market cap exceeding $12 billion as of September 2025.
What’s unique about Avalanche’s treasury model?
It mirrors MicroStrategy’s bitcoin strategy but focuses on AVAX, leveraging discounted token sales to public companies.