Treasury Alliance Strikes: Avalanche Partners with $1 Billion in Funding to Dominate RWA, Aiming for the Top Tier of Public Chains

Against the backdrop of the cryptocurrency market shifting from simply chasing prices to institutional competition, Avalanche is seizing the opportunity with a series of bold moves. By establishing a listed company's treasury and introducing Real World Asset tokenization (RWA), Avalanche is actively connecting traditional financial capital with on-chain applications, attempting to occupy a more advantageous ecological position in the next cycle.

Double Fortune Treasury Joins Forces: Expected to Attract Over $1 Billion in Funding

The most notable recent action in the Avalanche ecosystem is the establishment of treasury funds by two publicly listed companies focused on holding AVAX Tokens. This strategy aims to introduce large-scale, long-term funding into the Avalanche ecosystem through financing channels in the TradFi market.

The small publicly listed company AgriFORCE Growing Systems (NASDAQ: AGRI), which originally engaged in agricultural technology and later transformed into Bitcoin mining, announced its name change to "AVAX One" and plans to raise approximately $550 million from external investors to acquire AVAX Tokens worth over $700 million.

This financing plan has received support from top figures in the crypto finance circle:

· Hivemind Capital founder Matt Zhang is expected to serve as the chairman of the company.

· SkyBridge Capital founder Anthony Scaramucci will lead the advisory committee.

AGRI has successfully raised approximately $300 million in PIPE (Private Investment in Public Equity) to date, with this financing led by Hivemind Capital and over 50 institutions participating, including well-known investment firms such as ParaFi, Galaxy Digital, Digital Currency Group, and Kraken.

In addition to AGRI, another publicly listed company specializing in holding AVAX Tokens is expected to be established next month. This plan is led by the well-known crypto venture capital firm Dragonfly and will raise funds through a Special Purpose Acquisition Company (SPAC), with a scale of at least $500 million.

"The establishment of these two treasury companies marks a more standardized way for TradFi capital to enter the crypto market," said a crypto market analyst. "For Avalanche, this means more stable funding support and broader institutional recognition."

The Duality of Treasury Strategy: Opportunities and Challenges Coexist

The treasury strategy launched by Avalanche introduces long-term capital and real asset backing to the ecosystem, but the market questions the sustainability of this model.

Stock Price Performance: Enthusiasm Hard to Sustain

On the first trading day after the announcement of the transformation news, AGRI (AVAX One) gapped up and surged by as much as 134% during the day, ultimately closing with a gain of 142.98%. However, the company's stock price continued to decline thereafter, and as of September 26, its stock price had fallen from $5.73 to $3.52.

· Market Concerns: The Hidden Risks of the 'Public Company Coin Hoarding' Model

K33 Research pointed out in its September report that currently about a quarter of publicly listed companies holding Bitcoin have stock market valuations that are below the book value of the crypto assets they hold. This situation of "market value being lower than assets" indicates that companies are issuing new shares to raise funds for purchasing coins, which is equivalent to selling equity at a discount, and in the long run, it may lead to losses.

"Due to the frequent issuance of new shares diluting the rights of existing shareholders, along with the potential risks associated with the concentration of assets in specific coins, the subsequent financing capacity of such treasury companies is often limited," explained K33 analyst Vetle Lunde.

Data shows that as of September, the average premium multiple (mNAV) of crypto asset companies' stock prices relative to the assets held has dropped from 3.76 in April to 2.8, with most small and medium-sized companies falling into a discount range, while only top companies like MicroStrategy still maintain premium trading.

"Even the industry benchmark Strategy has seen its stock price premium over the company's net assets holding Bitcoin drop to about 1.26 times, reaching a new low since March 2024," noted a market observer. "This indicates that even the market recognition of the leading 'Bitcoin vault' is declining."

RWA Leads Avalanche Ecosystem into the Acceleration Zone

Despite the challenges faced by treasury strategies, the Avalanche blockchain ecosystem has demonstrated comprehensive prosperity over the past six months, particularly achieving significant breakthroughs in the RWA (Real World Asset tokenization) space.

Data from September shows that the market value of tokenized real assets deployed on the Avalanche network has exceeded 450 million USD, with a growth rate of 139% within just one month. This growth rate ranks among the top in mainstream public chains.

The most notable projects include:

· Global asset management giant BlackRock's US Dollar Digital Liquidity Fund (BUIDL)

· Scaramucci announced that a $300 million share of a hedge fund under SkyBridge will be tokenized and issued on Avalanche through the Tokeny platform.

The surge in activity brought by the technology upgrade

In the second quarter of this year, Avalanche completed the Octane upgrade, significantly optimizing network performance and costs—C-Chain average transaction fees decreased by about 43% quarter-over-quarter. The direct effect of the upgrade is a noticeable increase in on-chain activity:

· The average daily trading volume in Q2 increased to approximately 10.1 million transactions, a growth of 169.9% compared to the previous quarter.

· The number of daily active addresses exceeded 519,000, a quarterly increase of 210%.

In early September 2025, the daily trading volume of the decentralized exchange on Avalanche approached 900 million USD.

On September 24, the daily trading volume of Avalanche DEX surged to 1.17 billion USD.

Strategic Layout of Stablecoins and Payment Sector

Avalanche has also made significant progress in the compliance stablecoin and payment sectors:

The first state government-supported stablecoin Frontier Stable Token (FRNT) launched by Wyoming, USA, has chosen to issue on seven blockchains including Avalanche in August.

· Payment giant Visa announced the integration of Avalanche and Stellar networks into its cross-border stablecoin settlement platform, allowing PayPal's US dollar stablecoin (PYUSD), Global Dollar (USDG), and Circle's Euro stablecoin (EURC) to be settled through Avalanche.

Institutional Interest Continues to Heat Up: ETF Application Wave

With the prosperity of the ecosystem, institutional funds are closely watching Avalanche. Several asset management institutions have applied to launch trading products based on Avalanche:

· The world's largest crypto asset management company Grayscale has submitted an application for a spot Avalanche ETF to the U.S. SEC.

· Bitwise recently submitted a similar application to the SEC.

· VanEck applied to the SEC for an Avalanche ETF in March this year.

"These ETF applications reflect institutional investors' confidence in the Avalanche ecosystem," said a crypto ETF expert. "If approved, it will bring more channels for institutional capital inflow into AVAX."

Conclusion: The Path of Integration between Traditional Capital and On-chain Applications

Overall, Avalanche's development strategy revolves around the core idea of "bridging traditional capital and on-chain applications." Although the effectiveness of the Treasury Company's strategy still needs time to be tested, the rapid development of RWA and the comprehensive prosperity of the ecosystem have already laid a solid foundation for Avalanche in the competition of public chains.

"Whoever can connect compliant funds, real assets, and industry flow to the on-chain, has a better chance of occupying an ecological niche in the next cycle," summarized a blockchain researcher. "From this perspective, Avalanche's aggressive strategy is already showing results."

Regardless of the short-term fluctuations of the treasury stocks, Avalanche is gradually changing the competitive landscape of the crypto market through its long-term strategy of integrating traditional capital with on-chain applications, making full preparations for the next bull market cycle.