Avalanche Treasury Co. (Avat) has announced a business combination of $ 675 million plus with Mountain Lake Acquisition Corp. (MLAC), which sets the stage for what it hopes will be an ecosystem box of $ 1 billion, the company said in a press release on Wednesday.
Supported by an exclusive event with the Avalanche Foundation, Avat begins with a discounted token sale of $ 200 million and plans to list on Nasdaq in early 2026, waiting for approval.
MLAC is up 2% Premarket. Avax is flat over the last 24 hours and underperses an increasing crypto market.
The company is launched by approx. 460 million dollars in the State Treasury Assets, funded through a private location and promises investors a reduced entry point of 0.77 times net worth (MNAV) or about a 23% fielddown compared to direct token purchases or ETF alternatives.
CEO Bart Smith said the vehicle is designed to give institutions more than passive exposure and frame it as an integrated partner in the Avalanche network.
Avat’s strategy is aiming to scale into a $ 1 billion tax chamber by investing directly in the ecosystem, supporting protocol shooting, company activity on chain and institutional blockchain launches.
Emin Gün Sirer, Ava Labs’ founder, will serve as a strategic adviser, while Chief Business Officer John Nahas will take a board of directors. The advisory board includes Dragonfly’s Haseeb Qureshi, Blockworks CEO Jason Yanowitz and Aave founder Stani Kulechov.
The venture has already drawn a broad mix of institutional and crypto-native investors, including Dragonfly, Parafi, Vaneck, Galaxy Digital (GLXY), Pantera, Coinfund, Kraken and others. Falconx will handle execution and credit while monarq administering assets.
Smith, a Wall Street veteran with experience at Susquehanna and AllianceBernstein, leads a team that includes Laine Litman, earlier from Hidden Road and Virtu Financial, and Budd White, earlier at Multisig Labs. They see the effort as a step beyond traditional token -accumulation models that place Avat as both an institutional access point and an engine for Avalanche’s growth.
The trade, which is expected to close in the first quarter of 2026, arrives when regulators move closer to giving clarity for institutional crypto recording, where Avalanche emerges as a preferred blockchain for business use.
The Financial Times reported last month that the Avalanche Foundation planned to raise $ 1 billion to create two crypto state box companies.
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