AVAX to join crypto treasury league with AgriFORCE's $550 million offering
- AgriFORCE wants to rebrand as AVAX One and raise $550 million.
- The company plans to hold $700 million worth of AVAX in the long term, making it the first publicly traded Avalanche treasury.
- AVAX bounced off the 20-day SMA following a sharp decline on Monday.
Avalanche (AVAX) declined 3% on Monday despite Nasdaq-listed AgriFORCE's (AGRI) plan to rebrand as AVAX One and launch a $700 million treasury focused on the Layer 1 token.
AgriFORCE set to rebrand as AVAX One following $700 million AVAX treasury plan
AgriFORCE Growing Systems announced plans to rebrand as AVAX One, becoming the first Nasdaq-listed company dedicated to holding the Layer-1 token, according to a statement on Monday.
The company seeks to raise $550 million from a private investment in public equity (PIPE) deal worth $300 million, combined with an additional near-term funding of up to $250 million. In the long run, it plans to purchase $700 million worth of AVAX tokens.
"Our vision is to build the 'Berkshire Hathaway of the on-chain financial economy,' which is the execution of a multi-year thesis that Wall Street needs a smarter, more scalable way to get exposure to institutional grade blockchain infrastructure," said Matt Zhang, Founder of Hivemind Capital and nominated Chairman of AgriFORCE Board.
The PIPE deal is led by Hivemind Capital with participation from more than 50 institutional and crypto-native investors, including ParaFi, Galaxy Digital, Digital Currency Group, Kraken and Republic Digital, among others.
The company claims that its strategic advisory board will be chaired by Anthony Scaramucci, Founder of SkyBridge Capital, and Brett Tejpaul, Head of Coinbase Institutional, alongside other prominent leaders from the finance industry.
"AVAX One, backed by HivemindCap, is a first-of-its-kind public company dedicated to building a crypto treasury focused on AVAX. Proud to serve as Advisory Chair and see real-world assets, Fintech and insure-tech brought on-chain," said Scaramucci in an X post on Monday.
AGRI rose over 130% on Monday following the announcement, as fresh demand quickly inflated its small market capitalization.
The move comes amid a wider push among low-cap public companies in 2025 to establish crypto treasuries.
AVAX bounces off 20-day SMA as it eyes recovery of key trendline support
AVAX is down 3% over the past 24 hours. The Layer 1 token is attempting to recover the support of an ascending trendline, extending from September 9, after bouncing off the 20-day Simple Moving Average (SMA). Further down, it could find support near $27.3.
AVAX/USDT daily chart
On the upside, AVAX faces resistance near $36.2, a level that restricted its uptrend last Friday.
The Relative Strength Index (RSI) and Stochastic Oscillator (Stoch) have retreated from their respective overbought regions and are trending downwards, indicating a weakening bullish momentum.
Author
Michael Ebiekutan
FXStreet
With a deep passion for web3 technology, he's collaborated with industry-leading brands like Mara, ITAK, and FXStreet in delivering groundbreaking reports on web3's transformative potential across diverse sectors. In addi
