Blockchain platform Avalanche said it received a $ 230 million investment from an investment round that involved many large funds. In which, led by Polychain and Three Arrows Capital. Following this news, the AVAX price rose 22% to hit a new ATH at $ 65.57.

AVAX / USD 4H chart | Source: TradingView

Avalanche price (AVAX) increases by 65% ​​for the week

Avalanche said it made a private sale for AVAX and raised $ 230 million. The list of institutional investors who have just poured money into Avalanche includes Polychain Capital, Three Arrows Capital, R / Crypto Fund, Dragonfly, CMS Holdings, Collab + Currency, Lvna Capital, as well as a group of angel investors, offices of other families.

The Avalanche Foundation will use the proceeds to promote the rapid growth of DeFi activities on Avalanche, including providing grants for projects, token buybacks, and other forms of support for initiatives looking to grow within the network.

Like Solana and other blockchains, Avalanche aims to solve the scalability problems that older blockchains have. For example, to buy an NFT on Ethereum, you might have to pay $ 50 or $ 100 transaction fee. But with Avalanche these problems are completely eliminated.

Another coincidence here is that its blockchain competitor Solana also raised $ 314 million from leading crypto venture firms in June. Among them are major investors such as Andreessen Horowitz, Polychain Capital with participation from CMS Holdings, Coinfund, ParaFi and a few others.

Coincidentally, Polychain also took part in this private sale. And then the price of SOL went up too, reaching ATH at $ 213.47. Solana’s SOL is considered one of the top performing names this year and has increased in price 22 times. Will AVAX be able to achieve the same profit as SOL this time?

Prior to that, in mid-August, Avalanche announced a $ 180 million Avalanche Rush fund to raise more decentralized finance (DeFi) and applications for the network, typically Aave, Curve and Sushi.

The leading DeFi protocols Aave and Curve are among the first to join the program, along with BENQi, an Avalanche-derived liquidity protocol that the platform recently launched as an initiative. $ 3 million worth of liquidity mining. Another DeFi platform, Stake DAO, is set to develop profitable strategies using the upcoming implementations of Aave and Curve in the network.

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mango

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