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Breaking News: Ripple Announces $500 Million Funding Round, Achieving $40 Billion Valuation
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Breaking News: Ripple Announces $500 Million Funding Round, Achieving $40 Billion Valuation

Avalanche Gains Momentum As New Treasury Firm Eyes $1 Billion AVAX Purchase

Ash Tiwari
by Ash Tiwari
Last Updated: October 3, 2025 4:00 am
·
Posted in Avalanche
Trusted Editorial content, reviewed by leading industry experts and seasoned editors. Ad Disclosure

Digital asset treasury firm Avalanche Treasury Co., a part of the Avalanche (AVAX) ecosystem with a special relationship with the Avalanche Foundation, today announced a partnership with the Mountain Lake Acquisition Corp.

Avalanche Treasury Firm To Buy $1 Billion Worth Of AVAX

According to an official announcement made earlier today, Avalanche Treasury Corp. is set to merge with Mountain Lake Acquisition Corp., a special purpose acquisition company (SPAC). The deal is estimated to be worth over $675 million.

Related Reading: Avalanche Targets $1 Billion Fundraising Goal For Two AVAX Treasuries

The newly created merged firm is expected to get listed on Nasdaq in Q1 2026, under the ticker symbol “AVAT.” After it goes public, the company is expected to buy more than $1 billion worth of AVAX tokens.

The business transaction between the two entities includes $460 million worth of treasury assets. Notably, the deal is primarily geared toward establishing a leading public vehicle for exposure to the AVAX token.

It is worth highlighting that AVAT will launch with an initial AVAX token purchase at a discount to market price. Additionally, it will have an 18-month priority on Avalanche Foundation sales to US digital asset treasury firms.

Specifically, AVAT will offer an attractive entry point of 0.77x multiple of net asset value (mNAV) for investors, a significant discount of 23% compared to purchasing AVAX directly or via passive exchange-traded fund (ETF) alternatives. Commenting on the development, Bart Smith, CEO of AVAT, said:

Many institutions have difficulty accessing digital assets or are limited to holding native tokens without yield or ecosystem integration. We created Avalanche Treasury Co. to offer something we believe will be more valuable than passive exposure. This is a public company launching as an active, strategic partner within the Avalanche network, offering a level of integration and alignment that investors have been demanding.

Importantly, Emin Gün Sirer, the founder and CEO of Ava Labs, the entity responsible for the development of the Avalanche blockchain, will join AVAT as an advisor. The newly created firm is just the second AVAX-focused treasury firm.

The announcement adds that AVAT will work toward deploying capital directly into the Avalanche ecosystem through three strategic pillars – targeted protocol investments, partnerships with enterprises building on-chain rails, and direct support for institutional L1 launches.

AVAX Surges Following The Announcement

The smart contract network’s native token AVAX witnessed a sharp increase following the announcement. The token reached a high of $31.32 on Binance, before it lost some of its gains.

Related Reading: Avalanche Gets A Privacy Boost: AvaCloud Launches eERC For Confidential Transactions

This year has seen a significant increase in the launch of digital treasury firms. While digital treasury firms focused on Bitcoin (BTC) and Ethereum (ETH) have been around for a few years, more firms are now shifting focus to other altcoins such as Solana (SOL) and AVAX.

For instance, Nasdaq-listed VisionSys AI recently unveiled plans to launch a $2 billion SOL-based digital treasury program. At press time, AVAX trades at $30.17, down 1.3% in the past 24 hours.

avalanche
Avalanche trades at $30.17 on the daily chart | Source: AVAXUSDT on TradingView.com
Featured image from Unsplash.com, chart from TradingView.com
Editorial Process for bitcoinist is centered on delivering thoroughly researched, accurate, and unbiased content. We uphold strict sourcing standards, and each page undergoes diligent review by our team of top technology experts and seasoned editors. This process ensures the integrity, relevance, and value of our content for our readers.
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Ash Tiwari

Ash Tiwari

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Ash is a seasoned freelance editor and writer with extensive experience in the blockchain and cryptocurrency industry. Over the course of his career, he has contributed to major publications, playing a key role in shaping informative, timely content related to decentralized finance (DeFi), cryptocurrency trends, and blockchain innovation. His ability to break down complex topics has allowed both seasoned professionals and newcomers to the industry to benefit from his work. Beyond these specific roles, Ash's writing expertise spans a wide array of content, including news updates, long-form analysis, and thought leadership pieces. He has helped multiple platforms maintain high editorial standards, ensuring that articles not only inform but also engage readers through clarity and in-depth research. His work reflects a deep understanding of the rapidly evolving blockchain ecosystem, making him a valuable contributor in a field where staying current is essential. In addition to his writing work, Ash has developed a strong skill set in managing content teams. He has led diverse groups of writers and researchers, overseeing the editorial process from topic selection, approval, editing, to final publication. His leadership ensured that content production was timely, accurate, and aligned with the strategic goals of the platforms he worked with. This has not only strengthened his expertise in content strategy but also honed his project management and team coordination skills. Ash's ability to combine technical expertise with editorial oversight is further bolstered by his knowledge of blockchain analysis tools such as Etherscan, Dune Analytics, and Santiment. These tools have provided him with the data necessary to create well-researched, insightful articles that offer deeper market perspectives. Whether it’s tracking the movement of digital assets or analyzing blockchain transactions, his analytical approach adds value to the content he produces, ensuring readers receive accurate and actionable information. In the realm of content creation, Ash is not limited to just cryptocurrency markets. He has demonstrated versatility in covering other emerging technologies, market trends, and digital transformation across various industries. His in-depth research, coupled with a sharp editorial eye, has made him a sought-after professional in the freelance writing community. From developing editorial calendars to managing content delivery schedules, he has honed a meticulous approach to project management that ensures timely, high-quality work delivery. Throughout his freelance career, Ash has consistently focused on improving audience engagement through well-researched, insightful, and relevant content. His ability to adapt to the evolving needs of clients, whether it's enhancing the visibility of digital platforms or producing thought-provoking pieces for a wide range of audiences, sets him apart as a dynamic force in the field of digital content creation. His contributions have helped to shape a well-rounded portfolio that showcases his versatility, technical expertise, and dedication to elevating the standards of journalism in blockchain and related sectors.

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