Avalanche Foundation is planning to raise $1 billion to start two cryptocurrency treasury companies in the United States.
According to the release, the goal is to buy and hold more digital assets and get big investors interested.
One of the two companies will be completely new and focus on building a digital asset treasury. The second company will take an existing firm listed on Nasdaq and change it into a treasury-focused company. Together, these two projects aim to raise $1 billion in the next few weeks.
“Funds raised will be directed toward purchasing millions of AVAX tokens,” insiders said. The tokens will be sold at a discount to encourage large investors to join.
Hivemind Capital is leading the first project and has already arranged up to $500 million in private investment in the existing Nasdaq company. Dragonfly Capital is working on the second project, and aims to raise $500 million through a special purpose acquisition vehicle.
This second deal might not finish until October. Both companies plan to buy AVAX tokens directly from the Foundation’s holdings. Right now, about 420 million tokens are available out of a total of 720 million.
Meanwhile, ANAX was quick to react to the news. At press time, the token is up 8% in just 24 hours. At the same time, transactions on the Avalanche network increased to nearly 12 million in one week.
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