The Avalanche Foundation aims to collect $ 1 billion to create two crypto -state companies holding millions of Avax -Tokens, the Financial Times reported on Thursday.
Avax-tokens would be purchased from Foundation, the non-profit group that oversees Avalanche Blockchain, at a reduced price, according to the report citing people who are familiar with the case.
The fund was negotiating up to $ 500 million through a private investment led by Hivemind Capital in an unidentified NASDAQ-listed company for the purpose of implementing the agreement at the end of the month, FT said. Former press secretary at the White House Anthony Scaramucci advised about the deal.
Another deal would set up an AVAX Treasury Company through a acquisition of special purposes (SPAC).
There has been an abundance of publicly listed companies about a crypto-finance ministry this year trying to emulate the approach to Michael Saylor’s strategy (Mstr) which now has nearly 640,000 BTC ($ 73 billion).
However, cooling the Crypto Bull market in August that many of these companies’ shares got a hit that may have muted enthusiasm for the model.
Avax advanced almost 8% over the past 24 hours, but has fallen about 2.1% since Midnight UTC, while the wider crypto market measured by Coindesk 20 index is 0.65% higher.
Avalanche Foundation did not respond to Coindesk’s request for further comment.
