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Avalanche Foundation Works on $1 Billion AVAX Treasury

The Avalanche Foundation plans to significantly grow its reserves and is talking with institutional investors.

By Luc Vesters
• 2 min read
Avalanche Foundation Works on $1 Billion AVAX Treasury

The Avalanche Foundation wants to significantly expand its reserves and is in talks with institutional investors. According to the Financial Times the foundation is planning the creation of two new treasury companies in the US, through which about $1 billion worth of AVAX tokens will be purchased.

A portion of the financing will run through a newly formed corporation, while an existing Nasdaq-listed company will also be used to manage the reserves. With this setup, Avalanche aims to strengthen its balance sheet and secure a sizable portion of the available tokens.

The negotiations are said to be in an advanced stage. The first deal could be closed as soon as the end of this month, with the transformation of the publicly traded company to follow at a later date.

AVAX has a total supply of 720 million tokens, about 420 million of which are already in circulation. After the news, the price rose by over 8 percent to $28, boosting Avalanche's market position further.

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