AVAX rises 10% after Avalanche Foundation raises $250M in preparation for blockchain upgrade AVAX rises 10% after Avalanche Foundation raises $250M in preparation for blockchain upgrade
Avalanche's multi-chain model attracts institutional giants amid funding and scalability advancements.
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Updated: Dec. 13, 2024 at 12:55 am UTC
Cover art/illustration via CryptoSlate. Image includes combined content which may include AI-generated content.
The Avalanche Foundation announced raising $250 million through a private token sale to support its blockchain platform, according to a Dec. 12 statement.
The funding round had around 40 participants, including leading firms such as Galaxy Digital, Dragonfly, and ParaFi Capital.
The announcement spurred a 10% surge in Avalanche’s AVAX token, pushing its price to $52. This continues a bullish trend, with the token gaining 52% over the past month.
Avalanche9000 upgrade
The Avalanche9000 upgrade, set for Dec. 16, aims to revolutionize blockchain costs and scalability. It will cut Layer-1 deployment costs on Avalanche by 99.9% and lower transaction fees on its C-Chain by 25 times.
The upgrade supports Avalanche’s multi-chain vision, enabling horizontal scalability across various industries such as gaming, payments, loyalty programs, and real-world asset tokenization.
Over 500 Layer-1 chains are in development, and institutional giants like BlackRock and Franklin Templeton are leveraging Avalanche for their tokenized funds.
Haseeb Qureshi, Managing Partner at Dragonfly, called the upgrade a transformative moment for blockchain development. He stated:
“Avalanche’s upcoming Avalanche9000 upgrade represents a pivotal step toward advancing the decentralized finance ecosystem, and we believe Avalanche is uniquely positioned to capture the growing momentum in Web3 and blockchain scalability.”
In preparation, the Avalanche9000 testnet introduced Retro9000, which includes a $40 million retroactive grant program. This initiative offers $2 million in referral rewards to developers building on the platform.
Kevin Sekniqi, co-founder of Ava Labs, highlighted the network’s potential to outpace Ethereum, Solana, and other chains combined in transaction volume, emphasizing Avalanche’s unique multi-chain model.
He stated:
“There is no question in my mind that Avalanche network will process more transactions than Ethereum/L2s + Solana + other chains combined in the near future. There’s no Avalanche ‘chain.’ It’s a network of many interoperable chains. In aggregate there’s going to be a lot of activity.”
Avalanche Market Data
At the time of press 12:55 am UTC on Dec. 13, 2024, Avalanche is ranked #11 by market cap and the price is up 9.39% over the past 24 hours. Avalanche has a market capitalization of $21.79 billion with a 24-hour trading volume of $1.85 billion. Learn more about Avalanche ›
Crypto Market Summary
At the time of press 12:55 am UTC on Dec. 13, 2024, the total crypto market is valued at at $3.61 trillion with a 24-hour volume of $212.16 billion. Bitcoin dominance is currently at 54.95%. Learn more about the crypto market ›
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Oluwapelumi Adejumo
Oluwapelumi values Bitcoin's potential. He imparts insights on a range of topics like DeFi, hacks, mining and culture, underlining transformative power.
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Avalanche is an umbrella platform for launching decentralized finance (DeFi) applications, financial assets, trading and other services.
Ethereum
$3,441.44
Ethereum is a decentralized, open-source blockchain platform that enables the creation of smart contracts and decentralized applications (DApps).
Solana
$194.472
Solana is a high-performance blockchain platform that utilizes a unique consensus algorithm called “Proof of History” to achieve fast transaction speeds and low fees.
Galaxy Digital
Galaxy (TSX: GLXY) is a digital asset and blockchain leader providing access to the growing digital economy.