Avalanche's $1 Billion AVAX Target: Two Crypto Treasury Companies Coming to the US

The Avalanche Foundation is preparing to take a significant step in the crypto markets. According to the Financial Times (FT), the foundation plans to raise a total of $1 billion to establish two crypto treasury companies in the US. The initiative aims to both attract institutional investors and directly add liquidity to the AVAX ecosystem.

Two separate deals, one major goal

According to the FT, citing sources familiar with the matter, the Avalanche Foundation is currently in advanced discussions with investors. The planned structure consists of two deals: The first is a $500 million private investment in a Nasdaq-listed company. This investment is led by Hivemind Capital, with SkyBridge Capital founder Anthony Scaramucci advising on the process. The deal is expected to close by the end of September.

The second deal will proceed through a special purpose acquisition company (SPAC) backed by Dragonfly Capital. The target is also $500 million and is expected to close in October. If both deals are completed, a massive $1 billion fund will emerge.

To be used for AVAX acquisitions

The primary use of the capital to be raised is noteworthy: two treasury companies will purchase millions of AVAX from the Avalanche Foundation at discounted prices. This will both provide a significant capital infusion into the Avalanche ecosystem and strengthen AVAX's market position.

Recent price movements confirm this interest. AVAX gained over 10 percent in the last 24 hours, reaching $29. This increase demonstrates the market's confidence and expectations in the project.

Companies' new strategy: The crypto treasury trend

Avalanche's move is actually part of an increasingly popular trend in the crypto world. Especially during 2025, many publicly traded companies began restructuring with the "digital asset treasury" (DAT) model. In this model, companies hold significant amounts of crypto assets on their balance sheets, providing both diversification and offering investors a narrative that promises higher returns. For example, this week, Nasdaq-listed Asset Entities (ASST) agreed to merge with Vivek Ramaswamy's Strive Enterprises, with the approval of its shareholders. Following this merger, ASST will become a fully Bitcoin-focused treasury firm. The Avalanche Foundation's plan similarly aims to integrate AVAX into institutional treasuries.

Tokenization Experiments and Major Players

Meanwhile, the Avalanche network is already being used by major fund managers such as BlackRock, Apollo, and Wellington Asset Management. These institutions are testing fund tokenization on the Avalanche infrastructure. Therefore, new treasury firms will not only create buying pressure for AVAX but also pave the way for Avalanche's wider acceptance in the corporate finance world.